29543 Hamilton County Park District - Ohio Auditor of State · PDF fileThe Hamilton County Park District (Park District) ... Kenton, Campbell, Gallatin, Grant, ... • Fulton: 11 acres

HAMILTON COUNTY PARK DISTRICT

CINCINNATI, OHIO

COMPREHENSIVE ANNUAL FINANCIAL REPORT

FOR THE YEAR ENDED DECEMBER 31, 2003

Prepared by the Administration Division

JACK L. SUTTONDirector

NANCY S. MONTAGUEAdministration Director

DONALD A. RUDLERTreasurer

Board of Commissioners Hamilton County Park District 10245 Winton Road Cincinnati, Ohio 45231 We have reviewed the Independent Auditor's Report of the Hamilton County Park District, Hamilton County, prepared by BKD LLP, for the audit period January 1, 2003 through December 31, 2003. Based upon this review, we have accepted these reports in lieu of the audit required by Section 117.11, Revised Code. The Auditor of State did not audit the accompanying financial statements and, accordingly, we are unable to express, and do not express an opinion on them. Our review was made in reference to the applicable sections of legislative criteria, as reflected by the Ohio Constitution, and the Revised Code, policies, procedures and guidelines of the Auditor of State, regulations and grant requirements. The Hamilton County Park District is responsible for compliance with these laws and regulations. BETTY MONTGOMERY Auditor of State June 18, 2004

This Page is Intentionally Left Blank.

HAMILTON COUNTY PARK DISTRICTCOMPREHENSIVE ANNUAL FINANCIAL REPORT

FOR THE YEAR ENDED DECEMBER 31, 2003

TABLE OF CONTENTS

INTRODUCTORY SECTION Page No.

Letter of Transmittal .....................................................................................................................1

Certificate of Achievement ...........................................................................................................7

Organization Chart........................................................................................................................8

List of Principal Officials .............................................................................................................9

FINANCIAL SECTION

Independent Accountants’ Report...............................................................................................11

Management’s Discussion and Analysis ....................................................................................13

Basic Financial Statements:

Government-Wide Financial Statements:

Statement of Net Assets .....................................................................................................23

Statement of Activities.......................................................................................................24

Fund Financial Statements:

Balance Sheet – Governmental Funds ...............................................................................26

Reconciliation of Total Governmental FundsBalance to Net Assets of Governmental Activities ...........................................................27

Statement of Revenues, Expenditures and Changes in Fund BalancesGovernmental Funds..........................................................................................................28

Reconciliation of the Statement of Revenue, Expendituresand Changes in Fund Balances of Governmental Funds to theStatement of Activities.......................................................................................................29

Statement of Net Assets – Proprietary Fund......................................................................30

Statement of Revenues, Expenses and Changes in Net AssetsProprietary Fund ................................................................................................................31

Statement of Cash Flows – Proprietary Fund ....................................................................32

Notes to Basic Financial Statements ......................................................................................33

FINANCIAL SECTION (continued)

Required Supplementary Information Section

General FundSchedule of Revenues, Expenditures and Change in Fund Balances – Budget and Actual(Non GAAP Budgetary Basis.)..........................................................................................49

Mitchell FundSchedule of Revenues, Expenditures and Change in Fund Balances – Budget and Actual(Non GAAP Budgetary Basis)...........................................................................................50

Notes to Required Supplementary Information......................................................................51

Other Supplementary Information

Combining Balance Sheet – Non-Major Governmental Funds .........................................53

Combining Statement of Revenue, Expenditures andChanges in Fund Balances – Non-Major Governmental Funds ........................................54

Other Budgetary Information

Detailed Individual Fund Schedules of Revenues, Expenditures and ChangeIn Fund Balances – Budget and Actual (Non-GAAP Budgetary Basis):

General Fund by Department .....................................................................................57

Non-Major Special Revenue Funds ...........................................................................62

Capital Project Fund...................................................................................................67

Enterprise Fund Schedule of Revenues and Expenses by Department..............................70

STATISTICAL SECTION

General Fund-Revenue by Source (Non-GAAP Budgetary Basis)(chart) .................................75

General Fund-Expenditures by Function (Non-GAAP Budgetary Basis)(chart) .......................77

General Fund-Revenue by Source and Expenditures byFunction (Non-GAAP Budgetary Basis)-Last Ten Years .................................................78

General Fund-Revenue by Source (Non-GAAP Budgetary Basis) (graph) ...............................80

General Fund-Expenditure by Function (Non-GAAP Budgetary Basis) (graph).......................81

STATISTICAL SECTION (continued)

Enterprise Fund-Operating Revenue by Department (chart) ......................................................83

Enterprise Fund-Operating Expenses by Department (chart).....................................................85

Property Tax Levies and Collection, Real, Utility andTangible Personal Property Taxes - Last Ten Years ...........................................................86

Assessed and Estimated Actual Value of TaxableProperty – Last Ten Years...................................................................................................88

Property Tax Rates – All Direct and OverlappingGovernments – Last Ten Years ...........................................................................................90

Computation of Legal Debt Margin............................................................................................92

County of Hamilton, Ohio Demographics ..................................................................................93

County of Hamilton, Ohio Principal Taxpayers .........................................................................97

Schedule of Insurance Coverage.................................................................................................98

Facility Utilization, Last Ten Years..........................................................................................100

Facility Utilization – Last Ten Years (charts)

Motor Vehicle Permits ......................................................................................................103

Rounds of Golf ..................................................................................................................103

Visitor Center Attendance .................................................................................................105

Program Attendance ..........................................................................................................105

Park Facilities and Recreation Activities..................................................................................106


INTRODUCTORYSECTION


2

Reporting Entity

The Hamilton County Park District (Park District) was created in 1930 under authority of Chapter 1545of the Ohio Revised Code for the purpose of protecting local natural resources and providing outdoorrecreation. The Park District is governed by a three member Board of Park Commissioners, each ofwhom is appointed to three-year terms by the Probate Court Judge of Hamilton County and who servewithout pay. The first Park Board took office on July 17, 1930.

The Board of Park Commissioners appoints a Director who is also the Chief Executive Officer. TheDirector is responsible for executing policy of the Park Board. Since 1930, the Park District has acquiredand conserved over 14,950 acres of parkland and open space, including eighteen parks and naturepreserves protected and 990 acres of conservative easements.

The Mission of the Hamilton County Park District is: “To preserve and protect natural resources and toprovide outdoor recreation and education in order to enhance the quality of life for present and futuregenerations.”

Since its creation in the early 1930’s, the Park District has relied on a combination of funding derivedfrom self-generated earned income sources and voter approved tax levies to fulfill its Mission.

County Structure, Local Economic Conditions and Outlook

The Park District’s base for its real estate tax levy revenue (approximately $18 million) is HamiltonCounty. The County of Hamilton was named for the former Secretary of Treasury, Alexander Hamilton,and was created by proclamation of Arthur St. Clair, Governor of Northwest Territory, on January 2,1790. The County was the second county-formed in the State of Ohio, with Cincinnati as the Countyseat. The County is situated in the extreme southwestern corner of the State and covers an area of 413square miles. The County encompasses 49 municipalities, villages and townships, of which Cincinnati isthe largest. The County is the third largest in the State of Ohio in terms of population (845,303). Locatedon the Ohio River, the County forms the core of the “Cincinnati Metropolitan Area,” which includes thecounties of Hamilton, Warren, Clermont and Butler in Ohio, Dearborn and Ohio counties in Indiana andKenton, Campbell, Gallatin, Grant, Pendleton and Boone across the river in Kentucky.

The County Auditor serves as both the chief financial officer for the County and the real property assessorfor all political subdivisions within the County. The Auditor prepares the general tax list of the County,calculates the voted and unvoted tax rates for real estate and personal property and, once collected,distributes the tax receipts to the appropriate political subdivisions and agencies within the County. Thecollection and distribution of tax levy proceeds is the only service provided to the Park District.

The County of Hamilton’s average unemployment rate for 2002 was 4.0%. During 2002, the Countymaintained an average labor force of 442,600, of which 424,700 were employed. Fifty-four percent(54%) of the U.S. population is within one hour’s flight time and the Metropolitan Area is within 600miles of 53% of the nation’s purchasing power and 54% of the nation’s manufacturing establishments.

The corporate headquarters of numerous companies are located in Hamilton County. Cincinnati is thehome of several Fortune 500 corporations, including Procter & Gamble, Kroger Company, Cinergy andAmerican Financial Corporation. Another 370 Fortune 500 companies have operations in theMetropolitan Area.

3

The Metropolitan Area is a growing center for international business, with approximately 800 companiesengaged in international trade. Metropolitan Area companies generate sales of approximately $4.0 billionto customers outside the U.S. each year. Major export products include jet engines, plastics, machinery,computer software, paper and consumer goods. Directly imported products amount to over $2.0 billionannually. Over 150 Greater Cincinnati companies are also owned by foreign companies from Japan,England, Western Europe and Canada. New investment by suppliers to the new Japanese auto plants inthe Midwest is particularly strong. Foreign trade zone status is also available in Greater Cincinnati toassist firms engaged in international trade to lower import duty and tax expenses.

The County is also the location of major federal government installations, including a regional postalservice center, a regional internal revenue service center, an environmental research center, anoccupational health and safety research center and the Sixth Circuit Court of Appeals.

The County’s primary sporting venues include Great American Ballpark with a seating capacity of42,300; the USBank Arena, which can accommodate 17,000; Cincinnati Gardens which seats 10,800 andthe Shoemaker Center at the University of Cincinnati with a capacity of 13,176, Cintas Center at XavierUniversity with seating for 10,250 and Paul Brown Stadium seating 65,600.

For further information regarding Hamilton County, see Statistical Section.

Major Initiatives 2003

In 2003 the Park District received increased receipts of nearly $6 million dollars due to the 15 year onemill replacement levy approved in 2002 by voters of Hamilton County.

The Park District acquired 361 acres of new park land in 2003 using Clean Ohio Conservation ProgramFund of $502,000, cash for land donation of $306,000 and internally provided cash of $1,800,000. Nodebt was incurred in connection with these additions.

In 2003, the Park District announced the ForEverGreen Conservation Program, a new partnershipprogram for protecting greenspace. The ForEverGreen Conservation Program is guided by this visionstatement: “To preserve greenspace throughout Hamilton County through cooperative agreements inorder to conserve natural resources and enhance biodiversity in areas such as woodlands, forests,grasslands, prairies, hillsides, stream corridors and floodplains.” The Hamilton County Park District hasestablished the ForEverGreen Conservation Program Fund using a portion of its Land Acquisition budget.Up to $7.5 million will be set aside during the next 15 years (2003-2017) to fund the ForEverGreenConservation Program.

Outleases and Proposed Transfers under the ForEverGreen Conservation Program in 2003:

• Seaver: 1 acre leased to the City of Cleves• Wegman 34 acres preserved in collaboration with Green Township• Agape: 11 acres to be transferred to the Cincinnati Park Board (CPB)• Hensley Land: 14 acres to be transferred to CPB• Motz: 65 acres to be leased to CPB• Fulton: 11 acres to be transferred to Delhi Township• Jansen: 29 acres to be transferred to Delhi Township

Total greenspace preserved through ForEverGreen: 165 acres.

4

Financial Information

The Park District’s day-to-day accounting and budgetary records are maintained on a basis other thanGAAP. For financial reporting purposes, the accounting records are converted to a modified accrual basisfor all governmental funds and the accrual basis for proprietary and entity wide reporting. A furtherdiscussion of the two bases of accounting can be found in Note 1-E to the financial statements.

Budgetary appropriations for the operation of the Park District’s divisions are established through theadoption of the annual Appropriation Resolution by the Board of Park Commissioners. Budgetary controlis facilitated through the maintenance of an encumbrance system for purchase orders and through the useof the Park District’s financial accounting system.

The Park District maintains budgetary control within the organizational unit and fund by not permittingexpenditures and encumbrances to exceed appropriations. Various departments are subject toperformance budget reviews. Funds appropriated may not be expended for purposes other than thosedesignated in the Appropriation Resolution.

Items to be purchased costing under $500 do not require a formal bid. Purchases over $500 but under$15,000 must have specifications prepared and be bid out. Purchases exceeding $15,000 must be legallybid out under Ohio Revised Code Sections 307.88 and 307.89 or acquired through the State of Ohiopurchasing program.

Services of an accountant, architect, attorney, physician, professional engineer, construction projectmanager, consultant, surveyor or appraiser do not have to be bid out.

Internal Controls

In developing and revising the Park District’s accounting and reporting control system, management’sconsideration is given to the adequacy of internal controls to provide reasonable, but not absolute,assurance regarding:

- safeguarding assets against loss from unauthorized use or disposition.- reliability of financial records for preparing financial statements and maintaining

accountability for assets.

The concept of a reasonable assurance recognizes that:

- the cost of a control should not exceed the benefits likely to be derived- the evaluation of costs and benefits requires estimates and judgements by management.

All internal control evaluations occur within the above framework. The Park District’s internalaccounting controls adequately safeguard assets and provide reasonable assurance of proper recording offinancial transactions.

Initial responsibility for budgetary control rests with individual departments.

The Board of Park Commissioners and department heads receive a monthly report comparing budget andactual revenue and expenditures.

The Accounting Department conducts internal cash audits at park locations. During 2003, 86 such auditswere performed. Bank reconciliations are completed by accounting personnel not authorized to signchecks.

5

Capital Project Fund

Capital projects outlays totaled $8 million financed by $7 million transfer from general fund and openingfund balance. There was no debt incurred to finance Park District improvements. The Enterprise Fundfinances its own improvements.

Mitchell Fund

In 2003, stock market increases resulted in an unrealized portfolio gain of $620,000. This amount isshown as income along with interest and dividends received.

Enterprise Fund

In 2003, nearly $990,000 of positive cash flow was provided by the Golf, Fishing, Boating, RidingCenter, Food Service operations and sale of Golf Merchandise. Over $580,000 was used for Enterprisecapital improvements.

Cash Management

The Park District’s investment policy is based on Ohio Revised Code, Chapter 135. Policies are reviewedannually by independent auditors. The policy provided the foremost objective of safety of capital,followed by objectives of liquidity and return on investment.

The Treasurer utilizes cash management and forecasting techniques and procedures to provide forefficient and optimal use of the Park District’s cash resources, as permitted by applicable State of Ohiolaw. Among the Park District’s investments, the Park District participates in the State Treasurer’sInvestment Pool of Ohio (STAROHIO). The state-wide investment pool was established in January 1986for governmental entities in Ohio and is administered by the Treasurer of the State of Ohio. In addition toSTAROHIO, the Park District’s Treasurer invests in short-term certificates of deposit. All the ParkDistrict’s investments are in compliance with the Park District’s investment policy as passed by the Boardof Park Commissioners.

Cash resources of a majority of individual funds are combined to form a pool of cash and investments tomaximize possible returns. Investment income is allocated to the General Fund, Mitchell Fund and otherFunds as prescribed by Ohio law and Board policy.

Risk Management

The Park District provides training and safety equipment to its employees in order to control risks ofinjury. The Park District also maintains comprehensive coverage from private insurance carriers forproperty, appointed officials, ranger liability, boilers, crime and general liability. The annual premiumapproximates $260,000. Further information relating to insurance is presented in the Statistical Section.

Independent Audit

The Ohio Revised Code requires an annual audit be performed by the Auditor of State or by anindependent certified public accountant approved by the Auditor of State. For years 1996 through 2001our audit was performed by Berge & Company LTD. In 2002 Berge & Company merged and hereafterwill be known as BKD, LLP. The auditors’ report is an integral part of this CAFR. This firm has beenselected to audit years 2001-2005.

6

Awards

The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement forExcellence in Financial Reporting to the Park District for its comprehensive annual financial report forthe fiscal year ended December 31, 2002. This was the fifth year the Park District received thisprestigious award. In order to be awarded a Certificate of Achievement, the Park District published aneasy-to-read, efficiently-organized comprehensive annual financial report. This report satisfies bothaccounting principles generally accepted in the United States of America and applicable legalrequirements.

A Certificate of Achievement is valid for a period of one year. It is believed the current comprehensiveannual financial report continues to meet the Certificate of Achievement Program requirements. It isbeing submitted to the GFOA to determine eligibility for another certificate.

Acknowledgements

This CAFR represents a continuing commitment by the Accounting Department and the Management ofthe Park District to provide prudent financial information of Park District activities and to demonstratestewardship of the funds granted to the Park District by the voters of Hamilton County.

We thank and acknowledge support of the entire staff of the Park District for their effort in developingthis report. We thank Dusty Rhodes, Hamilton County Auditor, and his office for assistance indeveloping the Statistical Section and staff of BKD, LLP, our auditors, for their assistance and reviewduring this project.

7

8

HAMILTON COUNTY PARK DISTRICT2003 Organizational Chart

N. MontagueAdministration

R. GreerVisitor Services

E. FisherPark Services

R. HamrePlanning

J. SuttonDirector

Board of ParkCommissioners

• Accounting• Customer Service• Personnel• Special Projects• Food Service• Boating &Camping

• Athletics

• Rangers• Communications• Parkys Farm• Riding Center• Volunteers• Marketing• Naturalists

• Operations• Landscaping• Facilities• Golf Management• Golf Merchandise

• Planning• Construction Management• Land Management• Resource Quality• Projects• Land Acquisition

9

HAMILTON COUNTY PARK DISTRICTLIST OF PRINCIPAL OFFICIALS

DECEMBER 31, 2003

ELECTED OFFICIAL

HAMILTON COUNTY PROBATE JUDGE

HONORABLE JUDGE JAMES C. CISSELLTERM EXPIRES FEBRUARY 2009

APPOINTED BY PROBATE JUDGE

BOARD OF PARK COMMISSIONERS

TERM EXPIRES

NANCY R. HAMANT PRESIDENT DECEMBER 31, 2004ROBERT A. GOERING, SR. VICE-PRESIDENT DECEMBER 31, 2005JAMES E. BUSHMAN VICE-PRESIDENT DECEMBER 31, 2006

APPOINTED BY THE BOARD OF PARK COMMISSIONERS

DIRECTOR

JACK L. SUTTON

DIVISION DIRECTORS

VISITOR SERVICES - RICHARD A. GREERPARK SERVICES - EDWARD A. FISHER

ADMINISTRATION - NANCY S. MONTAGUEPLANNING - ROSS HAMRE

10

(This page intentionally left blank)

FINANCIALSECTION


312 Walnut Street, Suite 3000P.O. Box 5367Cincinnati, Oh 45201-5367513 621-8300 Fax 513 621-8345

bkd.com

11

Independent Accountants’ Report on Financial Statementsand Supplementary Information

Board of Park CommissionersHamilton County Park DistrictCincinnati, Ohio

We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the HamiltonCounty Park District as of and for the year ended December 31, 2003, which collectively comprisethe District’s basic financial statements as listed in the table of contents. These financial statementsare the responsibility of the Park District’s management. Our responsibility is to express opinions onthese financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in the United Statesof America and the standards for financial audits contained in Government Auditing Standards,issued by the Comptroller General of the United States. Those standards require that we plan andperform the audit to obtain reasonable assurance about whether the financial statements are free ofmaterial misstatement. An audit includes examining, on a test basis, evidence supporting the amountsand disclosures in the financial statements. An audit also includes assessing the accounting principlesused and significant estimates made by management, as well as evaluating the overall financialstatement presentation. We believe that our audit provides a reasonable basis for our opinions.

In our opinion, the financial statements referred to above present fairly, in all material respects, therespective financial position of the governmental activities, the business-type activities, each majorfund, and the aggregate remaining fund information of the Hamilton County Park District as ofDecember 31, 2003, and the respective changes in financial position and cash flows, whereapplicable, thereof for the year then ended in conformity with accounting principles generallyaccepted in the United States of America.

In accordance with Government Auditing Standards, we have also issued our report dated May 11,2004, on our consideration of the Park District’s internal control over financial reporting and our testsof its compliance with certain provisions of laws, regulations, contracts and grants. That report is anintegral part of an audit performed in accordance with Government Auditing Standards and should beread in conjunction with this report in considering the results of our audit.

12

The accompanying management’s discussion and analysis and budgetary information aslisted in the table of contents are not a required part of the basic financial statements but aresupplementary information required by the Governmental Accounting Standards Board. Wehave applied certain limited procedures, which consisted principally of inquiries ofmanagement regarding the methods of measurement and presentation of the requiredsupplementary information. However, we did not audit the information and express noopinion on it.

Our audit was conducted for the purpose of forming opinions on the financial statements thatcollectively comprise the Hamilton County Park District’s basic financial statements. Theaccompanying other supplementary information and other budgetary information as listed inthe table of contents is presented for purposes of additional analysis and is not a required partof the basic financial statements. The other supplementary information and other budgetaryinformation has been subjected to the auditing procedures applied in the audit of the basicfinancial statements and, in our opinion, is fairly stated, in all material respects, in relation tothe basic financial statements taken as a whole.

We did not audit the information included in the introductory and statistical sections as listedin the table of contents, and accordingly, we do not express an opinion on it.

Cincinnati, OhioMay 11, 2004

13

Management’s Discussion and Analysis (Unaudited)

Our discussion and analysis of Hamilton County Park District’s (Park District) financialperformance provides an overview of the Park District’s financial activities for the fiscal yearended December 31, 2003. Please read it in conjunction with the Park District’s basic financialstatements.

FINANCIAL HIGHLIGHTS

• The Park District’s net assets increased $5,277,242 as a result of this year’s operations.Net assets of our business-type activities decreased by $(688,409) and net assets of ourgovernmental activities increased by $5,965,651.

• Total cost of all of the Park District’s programs was $27,109,915 in 2003.

OVERVIEW OF THE FINANCIAL STATEMENTS

The financial section of this annual report consists of four parts - management’s discussion andanalysis (this section), the basic financial statements, required supplementary information, and anoptional section that presents combining statements for nonmajor governmental funds. The basicfinancial statements include two kinds of statements that present different views of the ParkDistrict:

• The first two statements are government-wide financial statements that provide both long-termand short-term information about the Park District’s overall financial status.

• The remaining statements are fund financial statements that focus on individual parts of thePark District’s government, reporting the Park District’s operations in more detail than thegovernment-wide statements.

- The Governmental Funds statements describe how general government services werefinanced in the short term as well as what remains for future spending.

- Proprietary Fund statements offer short- and long-term financial information about theactivities the government operates like businesses, such as the golf course operation, andfood service.

The financial statements also include notes that explain some of the information in the basicfinancial statements and provide more detailed data. The basic financial statements are followedby a section of required supplementary information that further explains and supports theinformation in the basic financial statements. In addition to these required elements, we haveincluded a section with combining statements that provides details about our nonmajorgovernmental funds as well as additional budgetary information.

14

Government-wide Statements

The government-wide statements report information about the Park District as a whole usingaccounting methods similar to those used by private-sector companies. The statement of netassets includes all of government’s assets and liabilities. All of the current year’s revenues andexpenses are accounted for in the statement of activities regardless of when cash is received orpaid.

The two government-wide statements report the Park District’s net assets and how they havechanged. Net assets, the difference between the Park District’s assets and liabilities, is one wayto measure the Park District’s financial health, or position.

• Over time, increases or decreases in the Park District’s net assets are an indicator ofwhether its financial health is improving or deteriorating, respectively.

• To assess the overall health of the Park District you need to consider additionalnonfinancial factors such as changes in the Park District’s property tax base.

The government-wide financial statements of the Park District are divided into two categories:

• Governmental activities - The Park District’s provided services are included heresuch as general administration, public safety, maintenance and visitors services. Mostof these services are financed by property taxes and charges for services.

• Business-type activities - The Park District charges fees to customers for golf, fishingand boating, riding center, food service, merchandise and athletic programs to coverthe cost of services it provides.

Fund Financial Statements

The fund financial statements provide more detailed information about the Park District’s mostsignificant funds - not the Park District as a whole. Funds are accounting devices that the ParkDistrict uses to keep track of specific sources of funding and spending for particular purposes.

• Some funds are required by State law and by reporting in accordance with accountingprinciples generally accepted in the United States of America (GAAP).

• The Board of Park Commissioners establishes other funds to control and managemoney for particular purposes or to show that it is properly using certain taxes andgrants.

15

The Park District has two kinds of funds:

Governmental funds: Most of the Park District’s basic services are reported in governmentalfunds, which focus on how money flows into and out of those funds and the balances left at year-end that are available for spending. These funds are reported using an accounting method calledmodified accrual accounting, which measures cash and all other financial assets that can readilybe converted to cash. The governmental fund statements provide a detailed short-term view ofthe Park District’s general government operations and the basic services it provides.Governmental fund information helps the reader evaluate whether there are adequate financialresources to finance the Park District’s programs. The relationship (or differences) betweengovernmental activities (reported in the Statement of Net Assets and the Statement of Activities)and governmental funds (reported in the Balance Sheet and Statement of Revenues, Expenses andchanges in Fund Balance) is described in a reconciliation between these financial statements.

Proprietary fund: When the Park District charges customers for the cost of the services itprovides to outside customers of the Park District, these services are reported in the proprietaryfund. Proprietary funds are reported in the same way that all activities are reported in theStatement of Net Assets and the Statement of Activities. In fact, the Park District’s ProprietaryFund is the same as the business-type activities reported in the government-wide statements butprovide more detail and additional information, such as cash flows.

THE PARK DISTRICT AS A WHOLE

The Park District’s total governmental assets increased $5,277,242 from a year ago, increasingfrom $82,945,162 to $88,222,404. Looking at the net assets and net expenses of governmentaland business-type activities separately. Our analysis below focuses on the net assets (Table 1)and changes in net assets (Table 2) of the Park District’s governmental and business-typeactivities.

16

Table 1 – Net Assets

Governmental Business-type Total 2003 2002 2003 2002 2003 2002

Current Assets $ 26,757,145 $ 28,052,912 $ 1,247,836 $ 710,126 $ 28,004,981 $ 28,763,038Capital Assets 67,515,880 61,292,853 13,793,040 14,751,479 81,308,920 76,044,332Total Assets 94,273,025 89,345,765 15,040,876 15,461,605 109,313,901 104,807,370

Current Liabilities 20,220,367 20,909,723 213,263 369,138 20,433,630 28,763,038Long term Liabilities 657,867 583,347 657,867 583,347Internal Balances (3,112,175) (2,688,620) 3,112,175 2,688,620Total Liabilities 17,766,059 18,804,450 3,325,438 3,057,758 21,091,497 21,862,208

Net AssetsInvested in Capital Assets

Net of Related Debt 67,515,880 61,292,853 13,793,040 14,751,479 81,308,920 76,044,332Restricted 7,927,867 10,507,215 7,927,867 10,507,215Unrestricted (deficit) 1,063,219 (1,258,753) (2,077,602) (2,347,632) (1,014,383) (3,606,385)Total Net Assets 76,506,966 $ 70,541,315 $ 11,715,438 $ 12,403,847 $ 88,222,404 $ 82,945,162

Table 2 – Change in Net Assets Governmental Business-type Total

2003 2002 2003 2002 2003 2002Revenues

Charge for service $ 1,803,834 $ 1,528,470 $ 10,424,252 $ 10,615,654 $ 12,228,086 12,144,124Taxes 18,149,004 12,791,479 18,149,004 12,791,479Investment income (loss) 913,744 (332,516) 913,744 (332,516)Grants and contributions 810,153 1,691,815 810,153 1,691,815

Miscellaneous 286,170 443,535 286,170 443,535Total Revenue 21,962,905 16,122,783 10,424,252 10,615,654 32,387,157 26,738,437

ExpensesParks and recreation 15,997,254 13,631,846 15,997,254 13,631,846Operating costs 11,112,661 10,940,921 11,112,661 10,940,921

Total expenses 15,997,254 13,631,846 11,112,661 10,940,921 27,109,915 24,572,767

Increase (decrease) in netassets

$ 5,965,651 $ 2,490,937 $ (688,409) $ (325,267) $ 5,277,242 $ 2,165,670

Net assets of the Park District’s governmental activities increased by 8.4% ($76,506,966 at December 31, 2003compared to $70,541,315 at December 31, 2002). This increase of $5,965,651 resulted from increases in propertytax of $5,357,000 and increases in fair value of the investments of $767,000 due to a partial stock marketrecovery. Unrestricted net assets increased from ($1,258,753 deficit) at December 31, 2002 to $1,063,219 atDecember 31, 2003.

Restricted net assets, those restricted for capital projects, land acquisition and certain facilities renovationdecreased by $2,579,358, ($7,927,867 at December 31, 2003, from $10,507,215 at December 31, 2002).Investment in capital assets, with no related debt increased by $6,223,027. This was possible because positivecash generated was reinvested in mission related property and equipment.

The net assets of our business-type activities decreased by 5.5% ($11,715,438 at December 31, 2003 compared to$12,403,847 at December 31, 2002). The net decrease in business assets ($688,409) resulted from less usage bythe public. Golf rounds decreased from 314,000 (2002) to 299,000 (2003), boat rentals decreased from 36,000 in2002 to 32,000 in 2003, and visitor center attendance decreased from 207,000 in 2002 to 176,000 in 2003. Thesedecreases appear to be due to unfavorable weather conditions in the peak season and decline in economic activity.By Board resolution, net assets may be transferred to reduce deficiency in governmental activities.

17

Financial Ratios

The following Financial Ratios should be used to assess the financial stability of the Park District over anextended period of time.

The Ratios of Working Capital and Days Cash and Investment in Reserve demonstrate the continuing ability tofinance operations with cash.

“Working capital” is the amount by which current assets exceed current liabilities. The “Current Ratio”, whichcompares current assets to current liabilities, is an indicator of the ability to pay current obligations.

Working Capital 2003 2002

Entity Wide Summary $ 7,571,351 $ 7,484,177Governmental 6,536,778 7,046,354Business type 1,034,573 437,823

Current Ratio

Entity Wide Summary 1.36 1.30Governmental 1.32 1.33Business-type 5.85 2.19

Days Cash and Investments in reserve represents the number of days normal operations could continue with noreserve collection.

Days Cash & Investment 2003 2002

Entity Wide Summary 128 150Governmental 195 261Business type 32 12

Liabilities to Net Assets indicates extent of borrowing.

Liabilities to Net Assets 2003 2002

Entity Wide Summary 23% 29%Governmental 23% 30%Business types 28% 25%

Return on Assets from operations illustrates to what extent there will be sufficient funds to replace assets in thefuture.

Return on Assets 2003 2002

Entity Wide Summary 6% 2%Governmental 8% 3%Business types (5%) (2%)

18

GENERAL GOVERNMENT FUNCTIONS BY INDIVIDUAL FUND

The following schedules present individual governmental funds revenues and the percentage of total for the year endedDecember 31, 2003 and December 31, 2002 as well as the expenditures and the percentage of total for the year endedDecember 31, 2003 and December 31, 2002.

General Fund2003 2002

Revenue Source AmountPercentof Total Amount

PercentOf Total

Increase(Decrease)from 2002

PercentIncrease

(Decrease)Taxes $ 18,149,004 75% $ 12,791,479 65% $ 5,357,525 42%Motor vehicle permits 795,486 3 792,443 4 3,043 –Charges for service 4,418,386 18 4,127,174 21 291,212 7Fines and damage 13,517 - 12,018 1 1,499 12Donations and grants 501,961 2 1,215,932 6 (713,971) (58)Investment income 55,526 1 87,408 1 (31,882) (36)Miscellaneous 281,062 1 438,884 2 (157,822) (35)

$ 24,214,942 100% $ 19,465,338 100% $ 4,749,604 24

Property taxes are a major source of revenue for general governmental and account for 75% of general governmentrevenue. They are represented by 1.0 mill voted levy which will expire in 2016 and a .03 mill non voted levy. In 2003the Park District realized the first full year of the new levy. Charges for service (programs, gift shop sales, interfundcharges) increased $291212, a seven percent increase. Revenue from grants decreased $713,971, compared to the verysuccessful receipts in 2002. Investment income decreased due to the continuing reduction of prime rates.

The following schedule presents a summary of General Fund, expenditures and the percentage of the total for the yearsended December 31, 2003 as well as December 31, 2002.

2003 2002

Expenditures AmountPercentof Total Amount

Percentof Total


PercentIncrease

(Decrease)General government $ 1,749,042 10% $ 1,501,348 10% $ 247,694 16%Public safety 3,676,543 22 2,973,577 20 702,966 24Operation andmaintenance

7,502,413 47 7,041,843 48 460,570 7

Land management 285,006 2 239,858 2 45,148 19Resource quality 160,931 1 156,165 1 4,766 3Naturalist 1,316,173 8 819,400 6 496,773 60Communication 506,695 3 502,256 3 4,439Visitor’s service 1,483,482 9 1,566,185 10 (82,703) 5Total expenditures $ 16,680,285 100% $ 14,800,632 100% $ 1,879,653 13

Expenditures for public safety increased $702,000 due to the ongoing safety emphasis in public areas and a shiftof certain responsibilities from visitor’s service. Naturalist expenses increased due largely to increased staffsalaries and fringes.

Capital Project Funds2003 2002


Percentof Total


PercentIncrease

(Decrease)Transfers In $ 7,000,000 100% $ 4,500,000 100% $ 2,500,000 56%

Total Revenue $ 7,000,000 100% $ 4,500,000 100% $ 2,500,000 56

ExpendituresCapital Outlay $ 8,024,277 100% $ 3,930,944 100% $ 4,093,333 104

Total expenditures $ 8,024,277 100% $ 3,930,944 100% $ 4,093,333 104

19

This year’s major additions included:

Glenwood Garden Improvements $ 1,392,000Little Miami Property 65 Acres 827,000Little Miami Bike Trail 1,235,000Miami Whitewater Shaker Trace Trail 250,000Sharon Woods Bridge 675,000Northside Woods 26 Acres 334,000Narrow Park 40 Acres 199,000Richardson Park 136 Acres 899,000Conservation Easements 732,000

The Park District’s 2004 capital budget anticipates a spending level of $5,850,000 with no plans to borrowoutside the organization for this capital. More information about the Park District’s capital assets ispresented in Note 8 to the Basic Financial Statements.

Mitchell Fund

2003 2002


Percentof Total

Increase(Decrease)

PercentIncrease

(Decrease)Investment (loss) $ 688,352 100% $ (680,344) 100% $ 1,368,696 201%

Total Revenue $ 688,352 100% $ (680,344) 100% $ 1,368,696 201

ExpendituresMaintenance $ 166,717 100% $ 378,363 30% $ (211,646) 55

Total expenditures $ 166,717 100% $ 378,363 100% $ (211,646) 55

The investment increase resulted from investment income $72,000 and market gain on portfolio of $616,000,compared to investment income of $73,660 and a market loss of $754,000 in 2002.

Other Funds

2003 2002


Percentof Total

Increase(Decrease)

PercentIncrease

(Decrease)Donation $ 189,657 39% $ 308,883 32% $ (119,226) (39)%Grants 118,535 25 394,116 41 (275,581) (70)Investment income 169,866 35 260,420 27 (90,554) (35)Miscellaneous 5,108 1 4,651 - 457 9

Total Revenue $ 483,166 100% $ 968,070 100% $ (484,904) 50

ExpendituresMiscellaneous $ 698,037 100% $ 663,118 100% $ 34,919 5

Total expenditures $ 698,037 100% $ 663,118 100% $ 34,919 5

Donations decreased $119,000, primarily due to a weak economy. Grants decreased due to one time projectsundertaken in 2002, related to the repair and rebuilding of a damaged bridge in Sharon Woods. Investmentincome in 2002 ($260,000) included gain on sale of stock $142,000. There were no stock sales in 2003.

Proprietary Funds

The Park District enterprise fund includes operating golf courses, fishing and boating locations, a ridingcenter, numerous food service facilities including banquet locations, golf pro shops and several ball fieldsand soccer fields.

20

User fees are reviewed on a yearly basis and changes are recommended to the Board of Park Commissionersfor approval.

Proprietary Funds

2003 2002Total assets $ 15,040,876 $ 15,558,440Net assets 11,715,438 12,403,847Net income (loss) (change in net assets) (688,409) (325,267)Return on Ending

Total assets (5%) (2%)Return on ending

Net assets (6%) (3%)

Capital Assets

At the end of 2003, the Park District has $81,308,920 invested in a broad range of capital assets includingland, building and equipment. See table below. This amount represents a net increase of $5,264,588 or 7%over last year.

Capital Assets at Year End(Net of Depreciation)

GovernmentalActivities

Business-typeActivities Total

2003 2002 2003 2002 2003 2002Land $ 49,275,947 $ 45,638,234 $ 2,579,126 $ 2,579,126 $ 51,855,073 $ 48,217,360Building 12,729,292 12,239,593 3,930,985 4,188,485 16,660,277 16,428,078Improvements 6,499,356 6,828,138 6,499,356 6,828,138Equipment 1,354,413 1,337,366 783,573 1,155,730 2,137,986 2,493,096Infrastructure 4,156,228 2,077,660 4,156,228 2,077,660

$ 67,515,880 $ 61,292,853 $ 13,793,040 $ 14,751,479 $ 81,308,920 $ 76,044,332

Governmental Activities

During 2003 the Park District acquired over 361 acres of new land and easements at a cost of $3,800,000which will be preserved as greenspace or added to public use facilities. No loans were made in connectionwith the acquisitions since cash was generated from operations and the Park District received grants. Capitalassets used in governmental activities are depreciated. Depreciation expense for 2003 was $1,818,247, and isincluded in Parks and Recreation expenses on Statement of Activities.

Buildings and Improvements decreased $96,000 due to additions $1,319,000 less current years depreciation$1,415,000. Equipment likewise decreased $355,000 due to additions of $1,888,000 less disposals $961,000and depreciation $1,274,000.

Because of requirements of GASB 34, infrastructures must be reported retroactively since 1980. The ParkDistrict began reporting for years as follows:

Cost Depreciation2001 $ 1,834,831 $ 126,4342002 524,092 154,8292003 2,329,508 250,940

$ 4,688,431 $ 532,203

Acquisitions and related depreciation prior to 2001 will be retroactively reported by 2006.

21

Business Activities

Capital assets used in business type activities have previously been depreciated. Depreciation expense for2003 was $1,542,992 and is reported in Statement of Revenues, Expenses and Changes in Net Assets,Proprietary Fund. The carrying value of building declined solely because of net depreciation $257,500.Building improvements increased by additions $138,000 and offset by net depreciation $466,000. Equipmentnet additions were $236,000 but net depreciation was $608,000, producing a reduction in carrying value of$372,000.

BUDGETARY VARIANCES

General FundGeneral fund budgeted tax revenue amount is supplied by Hamilton County auditor, who collects andforwards Park District taxes. Budgeted charges for services were based on prior year; however less userservice charges amounting to $351,531 for programs, special events required revised budgeted reductions.Ongoing oversight on expenses provided $750,000 positive variance. Because of these increases, transfersinto general fund were not necessary. Capital Projects required less transfers from general fund to meetbudgeted expenses. There were no significant variations between original budgeted general fund expendituresand revised budget.

ECONOMIC FACTORS AND NEXT YEAR’S BUDGET

The Park District is a special purpose government operating under the authority of Chapter 1545 of the OhioRevised Code, providing park and recreation opportunities to the citizens of Hamilton County, as well asadjoining counties, Northern Kentucky and Southeastern Indiana. Hamilton County is experiencing anincreasing unemployment rate (from 2.9% in 2000 to 4.0% in 2003.) Park usage has declined, noticeably inrounds of golf (314,000 in 2002 to 299,000 in 2003). These declines in 2002 were primarily due tounfavorable weather conditions and decline in economic activity.

However, a recently passed tax levy has increased revenue by $5.5 million dollars beginning in 2003 andbudgeted expenses have increased accordingly. Arrangements with surrounding governments providessharing of new park properties and maintenance and operation of other parks and green spaces.

The Park District continues to add and update computerization to provide better service to park users andmore timely, useful information to management.

CONTACTING THE PARK DISTRICT’S FINANCIAL MANAGEMENT

This financial report is designed to provide our citizens, taxpayers, patrons and creditors with a generaloverview of the Park District’s finances and to show the Park District’s accountability for the funds itreceives. If you have any questions about this report or need additional financial information, contact theTreasurer, Hamilton County Park District, 10245 Winton Road, Cincinnati, OH 45231 or call (513) 521-7275.

22


SEE ACCOMPANYING NOTES TO BASIC FINANCIAL STATEMENTS.23

HAMILTON COUNTY PARK DISTRICTStatement of Net Assets

December 31, 2003

Governmental

ActivitiesBusiness–type

Activities TotalAssetsCurrent assets

Cash and cash equivalents........................ $ 4,457,599 $ 965,895 $ 5,423,494Investments .............................................. 4,088,059 4,088,059Receivables ..............................................

Accounts.............................................. 9,894 9,894Intergovernmental ............................... 891 891Taxes ................................................... 18,064,000 18,064,000

Inventories................................................ 281,941 281,941Prepaids and other .................................... 136,702 136,702

Total current assets........................ 26,757,145 1,247,836 28,004,981

Non current assetsNondepreciable capital assets .............. 45,235,234 2,579,126 47,814,360Depreciable capital assets, net ............. 22,280,646 11,213,914 33,494,560

Total assets.................................... 94,273,025 15,040,876 109,313,901

LiabilitiesCurrent liabilities

Accounts payable and accrued expense 1,231,011 114,489 1,345,500Deferred revenue ................................. 18,064,000 18,064,000Due other governments ....................... 140,772 30,435 171,207Compensated absences........................ 784,584 68,339 852,923

Total current liabilities.................. 20,220,367 213,263 20,433,630Long term liabilities ................................. 657,867 657,867Internal balances....................................... (3,112,175) 3,112,175

Total liabilities .............................. 17,766,059 3,325,438 21,091,497

Net AssetsInvested in capital assets .......................... 67,515,880 13,793,040 81,308,920Restricted for:

Capital projects.................................... 2,773,624 2,773,624Special Revenue Funds ....................... 5,154,243 5,154,243

Unrestricted (deficit) ................................ 1,063,219 (2,077,602) (1,014,383)Total net assets.............................. $ 76,506,966 $ 11,715,438 $ 88,222,404


HAMILTON COUNTY PARK DISTRICTStatement of Activities

For the Year Ended December 31, 2003

Program Revenues

Functions/Programs ExpensesCharges for

Services

Operating Grantsand

Contributions

Capital Grantsand

Contributions

Governmental ActivitiesParks and Recreation ........................... $ 15,997,254 $ 1,803,834 $ 197,251 $ 612,902

Business-Type ActivitiesGolf Courses ........................................ 5,181,776 5,822,127Fishing and Boating ............................ 1,220,219 934,487Riding Center....................................... 304,094 230,615Food Service ....................................... 2,731,702 2,190,145Golf Merchandise ................................ 961,573 1,017,979Athletics ............................................... 386,876 228,899Recreation Management ...................... 326,421

Total Business-Type Activities..... 11,112,661 10,424,252

Total Government...................................... $ 27,109,915 $ 12,228,086 $ 197,251 $ 612,902

General RevenuesTaxesInvestment gainMiscellaneous

Total general revenues

Change in Net Assets

Net Assets, Beginning of Year

Net Assets, Ending of Year

25

Net (Expense) Revenue and Changes in Net Assets

GovernmentalActivities

PrimaryBusiness-Type

Activities Total

$ (13,383,267) $ $ (13,383,267)

640,351 640,351(285,732) (285,732)

(73,479) (73,479)(541,557) (541,557)

56,406 56,406(157,977) (157,977)(326,421) (326,421)(688,409) (688,409)

(13,383,267) (688,409) (14,071,676)

18,149,004 18,149,004913,744 913,744286,170 286,170

19,348,918 19,348,918

5,965,651 (688,409) 5,277,242

70,541,315 12,403,847 82,945,162

$ 76,506,966 $ 11,715,438 $ 88,222,404


HAMILTON COUNTY PARK DISTRICTBalance Sheet

Governmental FundsDecember 31, 2003

General Fund

CapitalProjects

Fund

MitchellTrust

Fund Other

Funds

TotalGovernmental Funds

AssetsCash and cash equivalents...................... $ 1,039,376 $ 770,351 $ 207,299 $ 2,440,573 $ 4,457,599Investments ............................................ 3,005,360 1,082,699 4,088,059Receivables ............................................

Accounts............................................ 9,894 9,894Intergovernmental ............................. 891 891Taxes ................................................. 18,064,000 18,064,000

Due from other funds ............................. 879,849 3,406,998 4,286,847Other assets ............................................ 136,702 136,702

Total assets ............................................. $ 20,130,712 $ 4,177,349 $ 3,212,659 $ 3,523,272 $ 31,043,992

LiabilitiesAccounts payable .............................. $ 263,884 $ 282,247 $ 218 $ 157,863 $ 704,212Accrued salaries payable................... 376,430 29,985 1,149 407,564Deferred revenue ............................... 18,064,000 18,064,000Retainage payable ............................. 119,235 119,235Due to other funds ............................. 621,543 553,129 1,174,672Due other government agencies ........ 125,148 12,405 3,219 140,772Compensated absences...................... 682,943 101,641 784,584

Total liabilities ............................ 20,133,948 545,513 557,715 157,863 21,395,039

Fund Balances (Deficit)Reserved for

Encumbrances ................................... 862,874 858,212 1,721,086Unreserved

General Fund..................................... (866,110) (866,110)Capital Projects Fund ........................ 2,773,624 2,773,624Special Revenue Funds ..................... 2,654,944 3,365,409 6,020,353

Total fund balances (deficit) ....... (3,236) 3,631,836 2,654,944 3,365,409 9,648,953

Total liabilities and fund balances.......... $ 20,130,712 $ 4,177,349 $ 3,212,659 $ 3,523,272 $ 31,043,992


HAMILTON COUNTY PARK DISTRICTReconciliation of Total Governmental Funds

Balance to Net Assets of Governmental ActivitiesDecember 31, 2003

Total Governmental Funds Balance $ 9,648,953

Amounts reported for Governmental Activities in theStatement of Net Assets are different because:

Capital assets used in governmental activities are not financial resources and therefore are not reported in the funds. 67,515,880

Long term liabilities are not due and payable in thecurrent period and therefore are not recorded in the funds (657,867)

Net Assets of Governmental Activities $ 76,506,966


HAMILTON COUNTY PARK DISTRICTStatement of Revenues, Expenditures and Changes in Fund Balances

Governmental FundsFor the year ended December 31, 2003

General Fund

CapitalProjects

Fund

MitchellTrust

Fund Other

Funds

TotalGovernmental Funds

RevenuesTaxes ....................................................... $ 18,149,004 $ $ $ $ 18,149,004Motor Vehicle Permits ............................. 795,486 795,486Charges for Service.................................. 4,418,386 4,418,386Fines and Damage.................................... 13,517 13,517Donations and Grants............................... 501,961 308,192 810,153Investment Income................................... 55,526 688,352 169,866 913,744Miscellaneous........................................... 281,062 5,108 286,170

Total revenue 24,214,942 688,352 483,166 25,386,460

ExpendituresCurrent:General Government ................................ 1,749,042 1,749,042Public Safety ............................................ 3,676,543 3,676,543Operation and Maintenance ..................... 5,963,207 166,717 698,037 6,827,961Land Management.................................... 285,006 285,006Resource Quality...................................... 160,931 160,931Naturalist.................................................. 1,316,173 1,316,173Communication........................................ 506,695 506,695Visitor Services ........................................ 1,483,482 1,483,482Facilities ................................................... 1,539,206 1,539,206

Capital Outlay ............................................. 8,024,277 8,024,277

Total expenditures 16,680,285 8,024,277 166,717 698,037 25,569,316

Excess (deficiency) of revenues overexpenditures 7,534,657 (8,024,277) 521,635 (214,871) (182,856)

Other financing sources (uses)Transfers in............................................... 159,335 7,000,000 1,564 20,258 7,181,157Transfers out............................................. (7,021,822) (159,335) (7,181,157)

Total other financing sources (uses) (6,862,487) 7,000,000 1,564 (139,077) -Net change in fund balance 672,170 (1,024,277) 523,199 (353,948) (182,856)

Fund Balances (Deficit), Beginning ofYear (675,406) 4,656,113 2,131,745 3,719,357 9,831,809

Fund Balances (Deficit), End of Year $ (3,236) $ 3,631,836 $ 2,654,944 $ 3,365,409 $ 9,648,953


HAMILTON COUNTY PARK DISTRICTReconciliation of the Statement of Revenues, Expenditures and

Changes in Fund Balances of Governmental Funds to the Statement of ActivitiesDecember 31, 2003

Net Change in Fund Balances Total Governmental funds $ (182,856)

Amounts reported for Governmental Activities in the Statement ofActivities are different because:

Governmental funds report capital outlays as expenditures. However, in the Statement of Activities the cost of those assets is capitalized and not expensed. This is the amount by which such capitalization increased net assets of governmental activities. 6,223,027

Change in long term liabilities (compensated absences) not reportedas expenditures in governmental funds. (74,520)

Change in Net Assets-Governmental Activities $ 5,965,651


HAMILTON COUNTY PARK DISTRICTStatement of Net Assets

Proprietary FundDecember 31, 2003

Enterprise Fund

AssetsCurrent Assets

Cash and cash equivalents ................... $ 965,895Inventories ........................................... 281,941

Total current assets 1,247,836Property and Equipment

Land ..................................................... 2,579,126Buildings and improvements ............... 19,575,704Equipment ............................................ 4,355,756

26,510,586Less accumulated depreciation ..... 12,717,546Net property and equipment.......... 13,793,040

Total assets .................................... 15,040,876

LiabilitiesCurrent Liabilities

Accounts payable................................. 42,530Accrued salaries payable ..................... 71,959Due to other funds ............................... 3,112,175Due other government agencies........... 30,435Compensated Absences ....................... 68,339

Total current liabilities .................. 3,325,438

Net AssetsInvested in capital assets...................... 13,793,040Unrestricted ......................................... (2,077,602)

Total net assets .............................. $ 11,715,438


HAMILTON COUNTY PARK DISTRICTStatement of Revenues, Expenses and Changes in Net Assets

Proprietary FundFor the year ended December 31, 2003

Enterprise Fund

Operating RevenuesCharges for Sales and Service ..................... $ 10,424,252

Total operating revenues ..................... 10,424,252

Operating ExpensesCosts of Sales and Services ......................... 8,543,167Administration ............................................. 1,236,293Depreciation................................................. 1,333,201

Total operating expense ....................... 11,112,661

Change in Net Assets (688,409)

Total Net Assets, Beginning of Year 12,403,847

Total Net Assets, End of Year $ 11,715,438


HAMILTON COUNTY PARK DISTRICTStatement of Cash Flows

Proprietary FundFor the year ended December 31, 2003

Enterprise Fund

Cash Flows from Operating ActivitiesReceipts from customers ............................................................... $ 10,424,252Paid to vendors.............................................................................. (2,249,591)Paid to employees ......................................................................... (4,184,911)Payments to other funds ................................................................ (3,000,000)

Net Cash Provided by Operating Activities .......................... 989,750

Cash Flows From Capital and Related Financing ActivitiesPayments for Capital Acquisition, Net of Disposals..................... (374,762)

Net Cash used in Capital and Related Financing Activities.. (374,762)

Increase in Cash and Cash Equivalents 614,988

Cash and Cash Equivalents, Beginning of Year 350,907

Cash and Cash Equivalents, End of Year $ 965,895

Reconciliation of Change in Net Assets to Net Cash Provided by Operating Activities:

Change in net assets ...................................................................... $ (688,409)Adjustment for items not requiring cash for operating activities:

Depreciation............................................................................... 1,333,201Changes in Assets and Liabilities

Inventories ................................................................................ 77,278Accounts payable ....................................................................... (71,262)Accrued salaries payable............................................................ (2,414)Interfund payables...................................................................... 423,555Due other governments .............................................................. (46,729)Compensated absences............................................................... (35,470)

Net Cash Provided by Operating Activities $ 989,750

33

HAMILTON COUNTY PARK DISTRICTNOTES TO BASIC FINANCIAL STATEMENTS

Note 1. Summary of Significant Accounting Policies

A. Description of Hamilton County Park DistrictThe Hamilton County Park District (Park District) was created in 1930 under authority of Chapter1545 of the Ohio Revised Code for the purpose of protecting local natural resources and providingoutdoor recreation. The Park District is governed by a three-member Board of ParkCommissioners, each of whom is appointed to three-year terms by the Probate Court Judge ofHamilton County and who serves without pay. The first Park Board took office on July 17, 1930.

The Board of Park Commissioners appoints a Director who is also the Chief Executive Officer.The Director is responsible for executing policy of the Park Board. Since 1930, the Park Districthas acquired and conserved over 14,900 acres of parkland, including eighteen parks and naturepreserves. The Park District adopted the following mission statement “to preserve and protectnatural resources and to provide outdoor recreation and education in order to enhance the qualityof life for present and future generations”. Listed below are the names and locations of the parksand nature preserves owned and for management by the Park District.

• Embshoff Woods & Nature Preserve - Paul Road, off Mt. Alverno Road between DelhiPike and Route 50, Cincinnati and Delhi Township - 332 acres.

• Farbach Werner Nature Preserve - Poole Road and Colerain Avenue, ColerainTownship - 22 acres.

• Lake Isabella - Loveland-Madeira Road at I-275, Loveland-Indian Hill exit, SymmesTownship - 77 acres.

• Little Miami Golf Center - Newtown Road between Route 50 and Route 32, Newtown,Anderson and Columbia Townships - 410 acres. (Includes Little Miami Golf Center,Bass Island, Avoca Park.)

• Miami Whitewater Forest - Harrison Pike, off I-74 at Dry Fork Road exit, Crosby,Harrison and Whitewater Townships - 4,411 acres.

• Mitchell Memorial Forest - Buffalo Ridge Road off Zion Road and East Miami RiverRoad, Miami Township - 1,344 acres.

• Richardson Forest Preserve - Off Colerain Avenue between Kemper Road and LickRoad, Colerain Township - 401 acres.

• Sharon Woods - Route 42, south of I-275, Sharonville - 734 acres.

• Shawnee Lookout - South of Route 50 at Cleves, entrance off Lawrenceburg Road,Miami Township - 1,311 acres.

34


Note 1. Summary of Significant Accounting Policies (continued)

• Triple Creek - Buell Road and Pippin Road, north of I-275, Colerain Township – 177acres.

• Winton Woods - Winton Road, south of I-275, Forest Park, Greenhills, Woodlawn andSpringfield Township - 2,468 acres.

• Withrow Nature Preserve - Five Mile Road, between I-275 and Route 52, AndersonTownship - 270 acres.

• Woodland Mound - Old Kellogg Avenue, between Eight and Nine Mile Roads,Anderson Township and Pierce Township, Clermont County - 1012 acres.

• Kroger Hills - Off Wooster Pike, between Newtown and Terrace Park, Indian Hill andColumbia Township - 214 acres. Under 30-year lease from Ohio Department ofNatural Resources, expiring 2008 with additional 30-year option.

• Newberry Wildlife Sanctuary - West of I-275, near Sheits and Springdale Roads,Colerain Township - 99 acres.

• W.M. Johnson Hills Park - Bridle Road, Anderson Township, leased to Anderson ParkDistrict – 45 acres.

• Oak Glen Nature Preserve - Colerain Township, 109 acres.

• Glenwood Gardens - Springfield Pike and Glendale Milford Road, 335 acres.

• Broadwell Woods - Broadwell Road, east of Newtown, 68 acres.

• Anderson Township - Forestville, I-275 and Asbury Road, 6 acres.

• I-74 Greenway – I-74 east of Race Road, 1 acre.

• Spieker Park - 4390 Overton Avenue, Green Township, 26 acres.

• Francis RecreAcres – Sharonville, 26 acres.

• Northside Woods – Suburban Cincinnati, 26 acres.

• Narrows Park – Delhi Township, 40 acres.

• North Bend Tunnel - North Bend Ohio, 1 acre.

Total Acreage: 13,965 acresConservation Easements: 994 acresGrand Total: 14,959 acres

35



B. Reporting EntityAs required by accounting principles generally accepted in the United States of America (GAAP),these financial statements present all funds for which the Park District is financially accountable.The Park District is considered a related organization to Hamilton County, Ohio. This decision isbased on the fact that the Board of Commissioners are appointed by the Probate Court Judge ofHamilton County, but Hamilton County cannot impose its will on the Park District in anymanner, nor does there exist any financial benefit or burden relationship between the Park Districtand Hamilton County.

The accompanying financial statements of the Park District are prepared in conformity withGAAP, prescribed in statements and interpretations issued by Governmental AccountingStandards Board (GASB) including GASB Statement No. 34.

C. Basic Financial Statements – Government Wide StatementsThe Statement of Net Assets and the Statement of Activities display information about the ParkDistrict. These statements include the financial activities of the overall government.

For the government-wide financial statements, eliminations have been made to remove the doublereporting of internal activities. These statements distinguish between the governmental andbusiness type activities of the Park District. Governmental activities generally are financedthrough taxes, intergovernmental revenues, and other nonexchange transactions. Business-typeactivities are financed in whole, or in part, by fees charged to external parties for goods orservices. Program revenues for both types of activities include 1) charges to customers whopurchase, use or directly benefit from goods, services or privileges provided by a given functionand 2) grants and contributions that are restricted to meeting the operation or capital requirementsof a particular function or activity. Taxes and other items not properly included among programrevenues are reported as general revenues.

The Statement of Net Assets reports all financial and capital resources using the economicresources measurement focus and the accrual basis of accounting. The Park District presents thestatement in a format that displays assets less liabilities equal net assets. Net assets is displayedin three components:

• The Invested in Capital Assets, Net of Related Debt component consists of capital assets, netof accumulated depreciation with no related outstanding debt.

• The Restricted Net Assets component represents net assets with constraints placed on their usethat are either 1.) externally imposed by creditors, grantors, contributors, or laws or regulationsof other governments or 2.) imposed by law through constitutional provisions or enablinglegislation.

• The Unrestricted Net Assets component consists of net assets that do not meet the definition ofthe preceding two components.

36



D. Basic Financial Statements – Fund Financial StatementsThe financial transactions of the Park District are reported in individual funds in the FundFinancial Statements. Each fund is accounted for by providing a separate set of self-balancingaccounts that comprises its assets, liabilities, reserves, fund equity, revenues andexpenditures/expenses. The various funds are reported by generic classification within thefinancial statements.

The emphasis in the fund financial statements is on the major funds in either the governmental orbusiness-type activities categories. Each major fund is presented in a separate column in thestatements. Nonmajor funds, by category, are summarized into a single column.

The following fund types are used by the Park District:

1. Governmental FundsThe focus of the governmental funds’ measurement (in the fund statements) is upondetermination of financial position and changes in financial position (sources, uses, andbalances of financial resources) rather than upon net income. The following is a descriptionof the governmental funds of the Park District:

a. General Fund is the general operating fund of the Park District. It is used to account forall financial resources except those required to be accounted for in another fund.

b. Capital Projects Fund is used to account for financial resources to be used for theacquisition or construction of major capital facilities (other than those financed bybusiness-type/proprietary funds).

c. Mitchell Trust Fund is used to account for the initial bequest from William MorrisMitchell and the subsequent accumulation of income, expenditures for contiguous land,construction, maintenance and operations of the Mitchell Memorial Forest.

d. Other Funds are comprised of other Government/Drug Enforcement Funds, expendabletrust funds and other special revenue funds.

37



2. Proprietary FundsThe focus of proprietary fund measurement is upon determination of operating income, changesin net assets, financial position, and cash flows. The generally accepted accounting principlesapplicable are those similar to businesses in the private sector. Propretary funds distinguishoperating revenues and expenses from non-operating items. Operating revenues and expensesgenerally result from providing goods and services in connection with a proprietary fundsprincipal on going operations. Revenues and expenses not meeting this definition are reportedas non operating revenues and expenses. The Park District applies all Financial AccountingStandards Board (FASB) pronouncements that were issued on or before November 30, 1989,unless the FASB pronouncement conflicts with or contradicts a GASB pronouncement. ThePark District has elected not to apply FASB pronouncements issued after November 30, 1989.The following is a description of the proprietary fund of the Park District:

Enterprise Fund - The Enterprise Fund is used to account for operations that arefinanced and operated in a manner similar to private business enterprises, where theintent of the governing body is that the costs of providing goods or services to the generalpublic on a continuing basis be financed or recovered primarily through user charges.The Park District operates within this fund, golf courses, fishing and boating locations,riding center, food service facilities, sale of golf and fishing merchandise, and athleticfacilities.

E. Basis of Accounting

Basis of accounting refers to the point at which revenues or expenditures/expenses arerecognized in the accounts and reported in the financial statements. It relates to the timing ofthe measurements made regardless of the measurement focus applied.

1. Accrual

Both governmental and business-type activities in the government-wide financial statementsand the proprietary fund financial statements are presented on the accrual basis of accounting.Revenues are recognized when earned and expenses are recognized when incurred.

2. Modified Accrual

The governmental funds financial statements are presented on the modified accrual basis ofaccounting. Under the modified accrual basis of accounting, revenues are recorded whensusceptible to accrual; i.e., both measurable and available. “Available” means collectiblewithin the current period or within 60 days after year end. Principal revenue sourcesconsidered susceptible to accrual include property and other taxes, state and federal grants,interest on investments, and fines. Expenditures are generally recognized under the modifiedaccrual basis of accounting when the related liability is incurred.

38



F. Pooled Cash and Cash EquivalentsThe Park District maintains a cash and investment pool used by all funds. Each fund type'sportion of this pool is displayed on the combined balance sheet as “Cash and Cash Equivalents".Investments with original maturities of three months or less are considered to be cash equivalents.Cash equivalents are recorded at cost, which approximates market value. Interest earned frominvestments purchased with pooled cash is allocated to the funds, based on amounts in the pool,unless otherwise restricted by statute.

G. InvestmentsInvestments are reported at fair value. Investments consist of securities owned by the ParkDistrict that are traded on a national exchange and valued at quoted market prices.

H. InventoriesInventory is valued at the lower of cost or market, using first-in, first-out (FIFO) method. Thecosts of inventory items are recognized as expenses in the Enterprise Fund when sold orconsumed.

I. Capital AssetsGovernmental-type capital assets include land, buildings, furniture and fixtures, machinery andequipment, vehicles, and infrastructure owned by the Park District and are stated at historical orestimated historical cost. Donated assets are stated at estimated market value at the time ofdonation. All capital assets in excess of $1,000 are capitalized.

Depreciation for governmental-type capital assets is provided using the straight-line method overthe estimated life of the assets. Depreciation lives used for property items within each propertyclassification are as follows:

Buildings 30 years Parking 10 yearsMachinery/Equipment 7 years Trails 20 yearsVehicles 5 years Sewers 20 yearsFurniture/Fixtures 7 years Dams 30 yearsWater Supply 20 years Bridges 30 years

39



Capital assets for the business-type activities (Enterprise Fund) in excess of $1,000 are recordedat historical cost. Depreciation is charged as an expense against operations and capital assetsare recorded net of accumulated depreciation on the Statement of Net Assets. See Note 8 foraccumulated depreciation by asset class.

Depreciation in the business-type activities (Enterprise Fund) is provided using the straight-linemethod over the estimated lives of the assets. Depreciable lives used for property items withineach property classification are as follows:

Buildings 30 YearsMachinery/Equipment 7 YearsVehicles 5 YearsFurniture/Fixtures 7 Years

J. Compensated AbsencesThe Park District records accumulated unpaid sick leave, vacation, holiday and comp timebenefits as compensated absences payable when earned by the employee.

Vacation - Full and part-time employees are eligible for vacation after completing one year ofservice with the Park District. One year is computed on the basis of 26 pay periods. After oneyear of service, employees may use current vacation accrual with approval from supervisor.Seasonal and hourly employees who become full or part-time will begin their accruals after 26pay periods of continuous employment. Accrual of vacation time is as follows:

Years of ServiceVacation Hours EarnedPer 80 Hours Worked

Total EarnedPer Year

1 to 8 years 3.1 hours/80 hrs/pay 10 days/year



26 plus years 7.7 hours/80 hrs/pay 25 days/year

At the end of the 8th, 15th and 25th year, an employee will accrue an additional 40 hours ofvacation leave and progress to the next accrual level.

40



Vacation pay for eligible employees is based on current rate of pay. Overtime hours are notcounted in computing vacation time. Any employee who works less then 2080 hours per year,will have vacation time determined by the percentage of the total hours they work. No vacationtime is earned while an employee is on an unpaid leave of absence or an unpaid military leave.

Vacation time may be accumulated to a maximum of that earned in three years. At the time of anemployee’s termination, the employee is entitled to compensation at their current rate of pay forany earned but unused vacation leave up to a maximum of three years.

Sick Leave - accumulates at the rate of 4.6 hours every 80 hours worked with a maximum of 15days per year. There is no maximum accumulation. It is to be used as needed and approved.Upon retirement or termination, an employee with 10 years or more of active service may receivea one-time payment. The payment is computed at one hour pay for each two hours of accruedsick leave but limited to accrued sick leave up to a maximum of 720 hours. At December 31,2003 the Park District recorded a liability for sick leave totaling $583,373 in accordance withGASB Statement No. 16, whereby sick leave is expended and accrued only for probable retireesin the upcoming three years.

Comp Time - Depending on the employee's position, comp time may be earned at regular or timeand a half rate. The maximum accumulation for non-exempt employees is 240 hours of comptime and comp time earned in excess of the maximum is paid to the employee. Exemptemployees are required to take current year comp time by April of the following year.

K. Long Term ObligationsLong-term obligations for vested sick leave, vacation and comp time and any claims orjudgements are shown in the Statement of Net Assets.

L. Inter-Fund TransactionsDuring the normal course of operation, the Park District has certain transactions between funds.Charges from the General Fund to the Enterprise Fund and Other Funds for administration,maintenance, utilities and other costs are identified at Charges for Services (Revenue) by theGeneral Fund and Expenditures in the Enterprise Fund and Other Funds. All other inter-fundtransactions are reported as transfers.

Amounts identified as Interfund Receivable/Payable represent lending/borrowing arrangementsoutstanding at year’s end. All other outstanding balances between funds are reported as “dueto/from other funds.”

M. Use of Restricted/Unrestricted Net AssetsWhen an expense is incurred for purposes for which both restricted and unrestricted net assets areavailable, the Park District’s policy is to apply restricted net assets first.

41


Note 2. Change in Accounting Principle

In 2003 the Park District adopted the provisions of Governmental Accounting Standards BoardStatement No. 40, Deposit and Investment Risk Disclosures, by retroactively restating prior year’sfinancial statements. This new standard revises the existing requirements regarding disclosure ofcustodial credit risk and establishes requirements for disclosures regarding credit risk, concentrationof credit risk, interest rate risk and foreign currency risk. Adoption of GASBS 40 had no effect on thenet assets and change in net assets in the prior or current year.

Note 3. Deposits, Investments and Investment Return

Deposits

Custodial credit risk is the risk that in the event of a bank failure, government’s deposits may not bereturned to it. The Park District deposit policy for custodial risk requires compliance with theprovisions of state law.

State law requires collateralization of all deposits with federal depository insurance; bonds and otherobligations of the U.S. Treasury, U.S. agencies or instrumentalities or the state of Ohio; bonds of anycity, county, school district or special road district of the state of Ohio; bonds of any state; or a suretybond having an aggregate value at least equal to the amount of the deposits.

At December 31, 2003, $2,498,242 of the Park District’s bank balances of $2,598,242 were exposedto custodial credit risk as these deposits were uninsured and collateral held was in other than the ParkDistrict’s name.

Investments

The Park District may legally invest in direct obligations of, and other obligations guaranteed as toprincipal by, the U.S. Treasury and U.S. agencies and instrumentalities. The Park District may notpurchase corporate bonds, stocks or notes. Donations of these items may be held until such time asthe Board of Park Commissioners deems it advisable to sell such items.

At December 31, 2003 and 2002 the Park District had the following investments and maturities:

Type 2003 2002

Money Market mutual funds $ 3,050 $ ––Corporate Stocks 4,088,059 3,320,266

$ 4,091,109 $ 3,320,266

42


Interest Rate Risk As a means of limiting its exposure to fair value losses arising from rising interestrates, the Park District investment policy limits all maturities to a maximum of two years. The moneymarket mutual funds are presented as an investment with a maturity of less than one year because theyare redeemable in full immediately.

Credit Risk. Credit risk is the risk that the issuer or other counterparty to an investment will not fulfillits obligation. It is the Park Districts policy to limit its investments to those permitted by state law,donated corporate stock or corporate bonds. Purchases of corporate stock, corporate bonds, orobligations of political subdivisions other than the State of Ohio are prohibited.

Custodial Credit Risk. For an investment, custodial credit risk is the risk that, in the event of thefailure of the counterparty, the Park District will not be able to recover the value of its investment orcollateral securities that are in possession of an outside party. All investments in corporate stock areheld in Park District’s name. The Park District’s investment policy does not address custodial creditrisk.

Concentration of Credit Risk. The Park District limits investments with one issuer to no more than50% of the investment portfolio, or $1,000,000 which ever is less, except as follows:

(a) Donated corporate stock, no limit.(b) External Investment Pool, (STAR OHIO) secured by U.S. Treasury obligations, no limit.(c) Fifth Third Bank. Balances totally collateralized with U.S. Treasury Securities, no limit.

Summary of Carrying Values

The carrying values of deposits and investments shown above are included in the balance sheets asfollows:

Carrying valueDeposits $ 5,423,454Investments 4,088,059

$ 9,511,513

Included in the following statement of net assetscaptionsCash and cash equivalents $ 5,423,454Corporate stock 4,088,059

$ 9,511,513

43


Investment Income

Investment Income for the year ended December 31, 2003 consisted of:

Interest and dividend income $ 145,951Net increase in fair value of investments 767,793

$ 913,744

Note 4. Property Tax Revenues

Property taxes include amounts levied against real, public utility and tangible (used in business)property. The assessed value upon which the 2003 tax collection was based follows: (Amounts in000’s.)

Real Property –2002 ValuationResidential/Agricultural $ 11,388,562Commercial/Industrial/Public Utilities 4,700,136

Tangible Personal Property – 2003 ValuationGeneral 1,712,460Public Utilities 743,825

Total Valuation $ 18,544,983

The County Treasurer bills and collects property taxes on behalf of all taxing districts in HamiltonCounty, including the Hamilton County Park District. Taxes are payable annually or semiannually.If paid annually, payment is due December 31; if paid semiannually, the first payment is dueDecember 31 with the remainder payable by June 20 of the following year. The county’s practice isto extend the December 31 due date to January. Unpaid taxes become delinquent after December 31of the year they are due. Foreclosure proceedings may be initiated by the County Prosecutor ifdelinquent taxes are not paid within one year.

The County Auditor periodically remits to the Hamilton County Park District its portion of the taxescollected. The final settlement of real and public utility property taxes is made in April andSeptember and tangible taxes in July and November for the first and second halves of the year,respectively. Collections of the taxes are accounted for in these statements.

44


Note 4. Property Tax Revenues (continued)

The Hamilton County Park District accrues property taxes as receivables since they can be measuredand recorded when levied and recognizes them as deferred revenue since they are recorded in advanceof the year for which they are levied. Property taxes are recognized as revenue in the year for whichthey are levied.

The Park District property tax is generated from two sources. The first is an unvoted .03 mill levygranted annually by the Hamilton County Commissioners. The second is a replacement levy of 1.0mill which is scheduled to expire in 2016. The current 1.0 mill levy was cancelled for 2003. Thenew levy is not subject to a reduction factor.

Note 5. Operating Lease

The Park District leases various park properties, land and water, over varying periods. None of theagreements contain unusual renewal or purchase options. The Park District is responsible forpreservation and maintenance of the properties. Future minimum rental payments under operatingleases are $1 per year for 2003 to 2009.

The Park District leases certain undeveloped land to another park district for a term of 50 years at nocharge.

Note 6. Defined Benefit Plans

All full time and part time employees are required to join the Public Employees Retirement System ofOhio (PERS). PERS is a cost-sharing, multiple-employer defined Benefit Pension Plan operated bythe State of Ohio. PERS issues a stand-alone Comprehensive Annual Financial Report, copies ofwhich may be obtained by making a written request to: Public Employees Retirement System ofOhio, 277 East Town Street, Columbus, Ohio 43215-4642, or by calling (614) 466-2085.

Pension Benefits - PERS provides retirement and disability benefits, annual cost of living adjustmentsand death benefits to plan members and beneficiaries. Authority to establish and amend benefits isprovided by state statute per Chapter 145 of the Ohio Revised Code. Employees with five years ofservice are entitled to future benefits. Non law enforcement participants may retire at any age with 30years of service, at or after age 60 with five years of credited service and at age 55 with a minimum of25 years of service. Those individuals retiring with less than 30 years of service or less than age 65receive reduced retirement benefits. Upon retirement, non law enforcement participants are entitledto a retirement benefit, payable monthly for life, equal to 2.2% of their final average salary for eachyear of credited service up to 30 years. These members are entitled to 2.5% of their final averagesalary for each year of service in excess of 30 years. Final average salary is calculated as theparticipant’s average salary over the highest three years of earnings. Law enforcement officers, asdefined in Chapter 145 of the Ohio Revised Code, are eligible for special retirement options. Theseoptions are available to such members at age 48 or older with 25 or more years of credited service.The annual benefit is calculated by multiplying 2.5 percent of final average salary by the actual yearsof service for the first 25 years of service credit and 2.1 percent of final average salary for each yearof service over 25 years. These options also permit early retirement under qualifying circumstancesas early as age 48.

45


Pension Contributions - Employer and employee required contributions to PERS are establishedunder Chapter 742 of the Ohio Revised Code and are based on percentages of covered employees’gross salaries. Contribution rates are calculated annually by the PERS actuaries. Contribution ratesfor calendar year 2003 were as follows:

Employee Share Employer Share

Regular Employees ....................................... 8.50% 13.55%Law Enforcement Employees ....................... 10.10% 16.70%

Employer contributions required and made for the last three years were as follows:

Employer’s Contribution Employer’s ContributionFor the Year Ended for Regular for Law Enforcement

December 31 Employees Employees

2003 $ 926,451 $ 258,7752002 894,110 245,1662001 862,934 229,950

Other Post-employment Benefits - All age and service retirees with 10 or more years of service creditqualify for healthcare coverage under PERS. Healthcare coverage for disability recipients andprimary survivor recipients is also available. Chapter 145, Ohio Revised Code, provides the statutoryauthority for employer contributions. The employer contribution rate for all employees to fundhealthcare is 5% included in the total employee rate (13.55% and 16.70%). Employees do not fundany portion of healthcare costs.

The 2003 actuarially determined employer healthcare contribution requirement paid was:

Regular Employees $ 541,784Law Enforcement Employees 110,587

$ 652,371Note 7. Commitments

The Park District has contractual commitments to various vendors for future supplies and services forthe Park District. Determinable amounts are recorded as encumbrances at December 31, 2003, asfollows:

General Fund $ 862,874Capital Projects Fund 858,212

$ 1,721,086

The Park District is the beneficiary of certain assets held in two charitable remainder trusts. Upon thedeath of the last surviving noncharitable recipient of the trust, the Park District shall receive all of theprincipal and income of these trusts.

46


Note 8. Capital Assets

A. Governmental Activities - changes in capital assets during the year ended December 31, 2003 is as follows:

BalanceJanuary 1, 2003 Additions Deletions

BalanceDecember 31, 2003

LessAccumulatedDepreciation

Net BookValue

Land $ 41,441,221 $ 3,794,013 $ $ 45,235,234 $ $ 45,235,234Land Improvements 4,537,831 4,537,831 497,118 4,040,713Buildings 20,043,438 1,278,730 50,000 21,272,168 8,542,876 12,729,292Equipment 4,319,550 667,372 585,936 4,400,986 3,681,891 719,095Vehicles 2,115,056 767,624 668,951 2,213,729 1,578,411 635,318Infrastructure 2,358,923 2,329,508 4,688,431 532,203 4,156,228

$ 74,816,019 $ 8,837,247 $1,304,887 $ 82,348,379 $ 14,832,499 $ 67,515,880

B. Changes in Accumulated Depreciation - Governmental Activities for the year ended December 31, 2003 are as follows:


AccumulatedDepreciation

December 31, 2003

Land Improvements $ 340,818 $ 156,300 $ $ 497,118Buildings 7,803,845 744,029 4,998 8,542,876Equipment 3,600,775 363,040 281,924 3,681,891Vehicles 1,496,465 303,938 221,992 1,578,411Infrastructure 281,263 250,940 532,203

$ 13,523,166 $ 1,818,247 $ 508,914 $ 14,832,499

C. Business Activities – Changes in capital assets during the year ended December 31, 2003 are asfollows:



LessAccumulatedDepreciation

Net BookValue

Land $ 2,579,126 $ $ $ 2,579,126 $ $ 2,579,126Buildings 7,774,901 7,774,901 3,843,916 3,930,985BuildingImprovements 11,710,356 138,048 47,601 11,800,803 5,301,447 6,499,356Equipment 4,156,659 446,505 501,615 4,101,549 3,355,071 746,478Vehicles 273,318 19,111 254,207 217,112 37,095

$ 26,494,360 $ 584,553 $ 568,327 $ 26,510,586 $ 12,717,546 $ 13,793,040

47


Note 8. Capital Assets (continued)

D. Changes in Accumulated Depreciation – Business Activities for the year ended December 31,2003 is as follows:


January 1, 2003 Additions Deletions


December 31, 2003

Buildings $ 3,586,416 $ 257,500 $ $ 3,843,916Building Improvements 4,882,218 466,830 47,601 5,301,447Equipment 3,058,406 588,489 291,824 3,355,071Vehicles 215,841 20,382 19,111 217,112

$ 11,742,881 $ 1,333,201 $ 358,536 $ 12,717,546

Note 9. Risk Management

The Park District is exposed to various risks of loss related to torts - theft of, damage to anddestruction of assets, errors and omissions, injuries to employees and natural disasters. These risks arecovered by commercial insurance purchased from independent third parties. Settled claims fromthese risks have not exceeded commercial insurance coverage for the past three years, nor has therebeen a significant reduction in insurance coverage in the same period.

Beginning in 2003, the Park District pays into the State of Ohio Bureau of Workers CompensationSystem at a group rate based on gross salaries. Workers claims are submitted to the State of Ohio forauthorization and payment to the injured employee. The Park District has no further risk. The Stateof Ohio establishes employer payments, employee payments, and adequate reserves. Prior claimswill be settled with Hamilton County as they occur, based on a previous arrangement.

Note 10. Long-Term Obligations

A summary of changes in amount to be provided for compensated absences is as follows:

BalanceJanuary 1, 2003 Additions Reductions


Due within one year $ 643,356 $ 852,923 $ 643,356 $ 852,923Due after one year $ 583,347 $ 118,036 $ 43,516 $ 657,867

Compensated absences will be paid from the fund in which employees salaries are paid which in prioryears has typically been from the general fund and enterprise fund.

48


Note 11. Due to/From Other Funds

Individual fund asset and liability balances at December 31, 2003 were as follows:

Receivable Fund Payable Fund Amount

General Fund Enterprise Fund $ 326,720General Fund Mitchell Funds 553,129Capital Project Fund Enterprise Fund 2,785,455Capital Project Fund General Fund 621,543

The balances represent timing differences related to routine transfers for operating and capitaltransactions.

As reported herein, transfer in and transfer out are as follows:

OTHER FUND Transfers out to General Fund $ 159,335GENERAL FUND Transfer out to

Capital Project Fund 7,000,000Mitchell Fund 1,564Other Funds 20,258

Total $ 7,181,157

GENERAL FUND Transfers in from other funds $ 159,335MITCHELL FUND Transfers in from General Fund 1,564

CAPITAL PROJECT FUND Transfers in from General Fund 7,000,000

OTHER FUNDS Transfers in from General Fund 20,258

Total $ 7,181,157

Transfers from the General Fund to the Capital Projects fund represent the Park District’s funding ofcapital projects.

Note 12. Governmental Activities and Business Activities Unrestricted Net Assets Negative Balances

The negative balance in the unrestricted net assets for business activities is the result of net assetsreserved for capital assets.

REQUIRED SUPPLEMENTARYINFORMATION

49

HAMILTON COUNTY PARK DISTRICTSchedule of Revenues, Expenditures and Changes in Fund Balances-Budget and Actual

(Non-GAAP Budgetary Basis)General Fund


OriginalBudget

Revised Budget Actual

VarianceBetween Actual

and RevisedBudget

RevenuesTaxes ....................................................... $ 18,064,000 $ 18,064,000 $ 18,149,004 $ 85,004Motor Vehicle Permits ............................. 830,000 830,000 795,485 (34,515)Charges for Service .................................. 4,156,700 3,929,100 3,897,044 (32,056)Fines and Damage .................................... 19,000 19,000 13,688 (5,312)Interest and Dividends.............................. 200,000 200,000 55,526 (144,474)Miscellaneous........................................... 76,000 198,600 393,004 194,404Grants ....................................................... –– 1,436,991 501,961 (935,030)

Total Revenue 23,345,700 24,677,691 23,805,712 (871,979)

Expenditures

General Government ................................ 2,477,400 2,708,749 2,516,516 192,233Public Safety ............................................ 3,423,600 3,614,955 3,575,929 39,026Operation and Maintenance ..................... 7,377,800 7,534,900 7,395,669 139,231Land Management.................................... 296,300 297,600 284,375 13,225Resource Quality...................................... 165,500 168,500 157,225 11,275Naturalist .................................................. 1,329,900 1,385,422 1,347,117 38,305Communication ........................................ 508,500 517,807 501,979 15,828Visitor Services ........................................ 2,427,400 2,528,765 1,720,353 808,412

Total Expenditures 18,006,400 18,756,698 17,499,163 1,257,535

Excess of revenues over expenditures ...... 5,339,300 5,920,993 6,306,549 385,556Other Financing Sources (Uses)

Transfers in............................................... 1,915,400 1,915,400 (1,915,400)Transfers out............................................. (7,254,700) (7,903,042) (7,021,822) 881,220

Deficiency of revenues and other financingsources over expenditures and other financinguses - $ (66,649) (715,273) $ (648,624)

Fund Balances, Beginning of Year 413,043

Prior Year Encumbrances 224,100

Fund Balances, End of Year $ (78,130)

See accompanying notes to required supplementary information.

50


(Non-GAAP Budgetary Basis)Mitchell Fund


OriginalBudget


VarianceBetween

Actual andRevised Budget

Revenues

Interest and dividends.................................. $ 166,600 $ 166,600 $ 623,852 $ 457,252Total Revenue.............................................. 166,600 166,600 623,852 457,252

Expenditures

Salaries ........................................................ 38,400 38,400 38,103 297Fringe .......................................................... 6,600 6,600 6,292 308Supplies ....................................................... 28,000 28,000 13,847 14,153Utilities ........................................................ 9,300 9,300 6,603 2,697Miscellaneous.............................................. 5,000 5,000 3,275 1,725Capital ......................................................... 283,900 298,710 22,704 276,006Total Expenditures ...................................... 371,200 386,010 90,824 295,186

Excess (deficiency) of revenues over expenditures (204,600) (219,410) 533,028 752,438

Other Financing SourcesTransfers in.................................................. 4,600 4,600 1,564 (3,036)Excess (deficiency) of revenue and other

financing sources over expenditures $ (200,000) $ (214,810) 534,592 $ 749,402

Fund Balance, Beginning of Year 2,938,083

Fund Balance, End of Year $ 3,427,675

51

HAMILTON COUNTY PARK DISTRICTNOTES TO REQUIRED SUPPLEMENTARY INFORMATION

Budgetary Process

Budget - A budget of estimated cash receipts and disbursements is submitted to the County Auditor,who serves as Secretary of the County Budget Commission, by July 20 of each year for the periodof January 1 to December 31 of the following year.

Estimated Resources - The County Budget Commission certifies its actions to the Park District bySeptember 1. As part of this certification, the Park District receives the official certificate ofestimated resources which states the projected receipts of each fund. On or about January 1, thiscertificate is amended to include any unencumbered balances from the preceding year. Prior toDecember 31, the Park District must revise its budget so that the total budgeted expenditures from afund during the ensuing fiscal year will not exceed the amount stated in the Certificate of EstimatedResources. The revised budget then serves as the basis for the annual appropriation measure.Budget receipts, as shown on the accompanying financial statements, do not include January 1,2003 unencumbered fund balances. However, those fund balances are available for appropriations.

Appropriations - A temporary appropriation measure to control cash disbursements may be passedon or about January 1 of each year for the period January 1 to March 31. An annual appropriationmeasure must be passed by April 1 of each year for the period January 1 to December 31. Theappropriation measure may be amended or supplemented during the year as new informationbecomes available. Appropriations may not exceed estimated resources, as certified.

Encumbrances - The Park District is required to use the encumbrance method of accounting bymandate of Ohio law. Under this system, purchase orders, contracts and other commitments for theexpenditure of funds are recorded on the Non-GAAP budgetary basis in order to reserve thatportion of the applicable appropriation and to determine and maintain legal compliance.

At the close of each fiscal year, the unencumbered balance of each appropriation reverts to therespective fund from which it was appropriated and becomes subject to future appropriations. Theencumbered appropriation balance is carried forward to the succeeding fiscal year and need not bereappropriated.

All governmental and proprietary fund types of the Park District have legally adopted budgets at thedepartmental level for estimated resources and appropriations. Revisions to estimated resources orbudgeted appropriations must be approved by the Board of Park Commissioners and submitted tothe Hamilton County auditor. Division directors are responsible for operating within the approvedbudget, as periodically amended. Transfer of appropriations within departments does not requireapproval of the Board of Park Commissioners.

52

HAMILTON COUNTY PARK DISTRICTNOTES TO REQUIRED SUPPLEMENTARY INFORMATION

Budgetary Process (continued)

Listed below is a reconciliation of the results of operations for the year ended December 31, 2003from modified accrual (GAAP) basis to the Non-GAAP budgetary basis.

Excess (Deficiency) of Revenues and Other Financing Sources OverExpenditures and Other Financing Uses

General MitchellFund Fund

GAAP Basis: $ 672,170 $ 523,199

Adjustments:Revenue Accrued (409,230) (64,500)Expenses Accrued (822,130) 75,893Encumbrances Change 3,252Transfer in (159,335) -

Budget Basis: $ (715,273) $ 534,592


OTHER SUPPLEMENTARY INFORMATION

53

HAMILTON COUNTY PARK DISTRICTCombining Balance Sheet

Non-Major Governmental FundsFor the Year ended December 31, 2003

LawEnforcement Fund

LawEnforcement

and Education Fund

Drug LawEnforcement

Fund Evergreen

Fund Burchenal Fund

Benedict Fund

Total NonMajor

Governmental Funds

Assets

Cash and cash equivalents $ 7,862 $ 2,290 $ 2,286 $ 1,243,976 $ 410,926 $ 773,233 $ 2,440,573Investments 1,082,699 1,082,699

Total assets $ 7,862 $ 2,290 $ 2,286 $ 1,243,976 $ 1,493,625 $ 773,233 $ 3,523,272

Liabilities and Fund Balances

LiabilitiesAccounts payable $ $ $ $ 23,875 $ 121,488 $ 12,500 $ 157,863

Total liabilities 23,875 121,488 12,500 157,863

Fund Balances:Unreserved 7,862 2,290 2,286 1,220,101 1,372,137 760,733 3,365,409

Total fund balances 7,862 2,290 2,286 1,220,101 1,372,137 760,733 3,365,409Total Liabilities and Fund Balances $ 7,862 $ 2,290 $ 2,286 $ 1,243,976 $ 1,493,625 $ 773,233 $ 3,523,272

54

HAMILTON COUNTY PARK DISTRICTCombining Statement of Revenues, Expenditures and Changes in Fund Balances

Non Major Governmental FundsDecember 31, 2003

LawEnforcement Fund

LawEnforcement

andEducation

Fund

Drug LawEnforcement

Fund Evergreen

Fund Burchenal Fund

Benedict Fund

Total NonMajor

Governmental Fund

RevenuesDonations and grants $ $ $ $ 308,192 $ $ $ 308,192Investment income 169,866 169,866Miscellaneous 75 5,033 5,108

Total revenue 75 5,033 308,192 169,866 483,166

ExpendituresOperation and Maintenance 2,000 3,107 353,354 320,726 18,850 698,037

Total expenditures 2,000 3,107 353,354 320,726 18,850 698,037

Excess (Deficiency) of Revenues (2,000) 75 1,926 (45,162) (150,860) (18,850) (214,871)Other Financing Sources (Uses)

Transfers in 62 20 7 10,290 4,209 5,670 20,258Transfers out (159,335) (159,335)

Total other financing sources (uses) 62 20 7 (149,045) 4,209 5,670 (139,077)Net Change In Fund Balances (1,938) 95 1,933 (194,207) (146,651) (13,180) (353,948)Fund Balances, Beginning of Year 9,800 2,195 353 1,414,308 1,518,788 773,913 3,719,357Fund Balances, End of Year $ 7,862 $ 2,290 $ 2,286 $ 1,220,101 $ 1,372,137 $ 760,733 $ 3,365,409


OTHER BUDGETARY INFORMATION


GOVERNMENTAL FUNDS


55

GENERAL FUND

The General Fund is the general operating fund of the Park District. It is used to account forresources traditionally associated with governments which are not required to be accounted for inanother fund.

56


57

HAMILTON COUNTY PARK DISTRICTDetailed Schedule of Revenues, Expenditures and Changes in Fund Balances-Budget and Actual

(Non-GAAP Budgetary Basis) by DepartmentGeneral Fund


OriginalBudget


VarianceBetween


RevenuesTaxes ....................................................... $ 18,064,000 $ 18,064,000 $ 18,149,004 $ 85,004Motor Vehicle Permits ............................. 830,000 830,000 795,485 (34,515)Charges for Service .................................. 4,156,700 3,929,100 3,897,044 (32,056)Fines and Damage .................................... 19,000 19,000 13,688 (5,312)Interest and Dividends.............................. 200,000 200,000 55,526 (144,474)Miscellaneous........................................... 76,000 198,600 393,004 194,404Grants ....................................................... –– 1,436,991 501,961 (935,030)

Total revenue 23,345,700 24,677,691 23,805,712 (871,979)

ExpendituresAdministration Department

Salaries ..................................................... 1,266,900 1,126,100 1,109,814 16,286Fringes...................................................... 285,100 299,200 289,500 9,700Supplies.................................................... 442,000 538,337 502,772 35,565Insurance Utilities .................................... 250,000 235,713 197,630 38,083Miscellaneous........................................... 168,900 228,099 164,584 63,515Capital Outlay .......................................... 64,500 281,300 252,216 29,084

Total Administration Department 2,477,400 2,708,749 2,516,516 192,233

Safety DepartmentSalaries ..................................................... 2,406,500 2,541,900 2,541,871 29Fringes...................................................... 667,000 710,000 707,416 2,584Supplies.................................................... 151,300 152,300 147,919 4,381Insurance Utilities .................................... 3,500 4,100 3,894 206Miscellaneous........................................... 6,400 5,400 2,253 3,147Capital Outlay .......................................... 188,900 201,255 172,576 28,679

Total Safety Department 3,423,600 3,614,955 3,575,929 39,026

Operations DepartmentSalaries ..................................................... 3,735,900 3,803,500 3,763,821 39,679Fringes...................................................... 1,034,400 1,075,400 1,046,854 28,546Supplies.................................................... 1,185,200 1,196,850 1,151,978 44,872Insurance Utilities .................................... 908,800 908,800 887,363 21,437Miscellaneous........................................... 13,600 14,800 10,339 4,461Capital Outlay .......................................... 499,000 535,550 535,314 236

Total Operations Department 7,377,800 7,534,900 7,395,669 139,231(continued)

58


(Non-GAAP Budgetary Basis) by Department - continuedGeneral Fund


OriginalBudget


VarianceBetween


Land Management DepartmentSalaries .................................................... $ 206,800 $ 208,000 $ 206,963 $ 1,037Fringes...................................................... 57,100 57,200 52,194 5,006Supplies.................................................... 31,600 31,600 25,058 6,542Miscellaneous........................................... 800 800 160 640

Total Land Management Department 296,300 297,600 284,375 13,225

Resource Quality DepartmentSalaries ..................................................... 100,900 102,500 98,278 4,222Fringes...................................................... 30,900 32,400 31,771 629Supplies.................................................... 21,200 20,200 13,991 6,209Miscellaneous........................................... 900 900 707 193Capital Outlay .......................................... 11,600 12,500 12,478 22

Total Resource Quality Department 165,500 168,500 157,225 11,275

Naturalist DepartmentSalaries ..................................................... 725,800 773,200 773,145 55Fringes...................................................... 209,100 214,000 213,379 621Supplies.................................................... 365,000 363,502 332,061 31,441Miscellaneous........................................... 30,000 30,100 24,413 5,687Capital Outlay .......................................... – 4,620 4,119 501

Total Naturalist Department 1,329,900 1,385,422 1,347,117 38,305

Communications DepartmentSalaries ..................................................... 168,300 174,000 173,944 56Fringes...................................................... 47,100 49,500 49,389 111Supplies.................................................... 291,900 292,007 276,393 15,614Miscellaneous........................................... 1,200 1,200 1,167 33Capital Outlay .......................................... - 1,100 1,086 14

Total Communications Department 508,500 517,807 501,979 15,828

(continued)

59


(Non-GAAP Budgetary Basis) by Department - continuedGeneral Fund


OriginalBudget


VarianceBetween


Visitor Services DepartmentSalaries .................................................... $ $ 50,000 $ 49,408 $ 592Fringes...................................................... 30,000 27,087 2,913Supplies.................................................... 427,000 521,290 272,385 248,905Miscellaneous........................................... - 50,000 2,869 47,131Capital Outlay .......................................... 2,000,000 1,877,475 1,368,604 508,871

Total Visitor Services Department 2,427,400 2,528,765 1,720,353 808,412

Total Expenditures 18,006,400 18,756,698 17,499,163 (1,257,535)

Excess of Revenues over Expenditures 5,339,300 5,920,993 6,306,549 385,556

Other Financing Sources (Uses)Transfers In.................................................. 1,915,400 1,915,400 (1,915,400)Transfers Out............................................... 7,254,700 (7,903,042) (7,021,822) 881,220

Deficiency of revenues and Other financing sources over

expenditures and other financing uses $ - $ (66,649) $ (715,273) $ (648,624)

Fund Balance, Beginning of Year 413,043

Prior Year Encumbrances 224,100Fund Balance, End of Year $ (78,130)

60


61

SPECIAL REVENUE FUNDS

SPECIAL REVENUE FUNDS ARE USED TO ACCOUNT FOR SPECIFIC GOVERNMENTALREVENUES (OTHER THAN MAJOR CAPITAL PROJECTS) REQUIRING SEPARATEACCOUNTING BECAUSE OF LEGAL OR REGULATORY PROVISIONS OR ADMINISTRATIVEACTION AND EXPENDITURES FOR SPECIFIED PURPOSE.

LAW ENFORCEMENT FUND – To account for money which is contraband or is derived from sale ofcontraband. Ten percent is to be used for community prevention programs and 90% for discretionary lawenforcement projects.

LAW ENFORCEMENT AND EDUCATION FUND – To account for fines related to driving under theinfluence (DUI) of drugs or alcohol. This fund may be spent on any DUI related enforcement oreducation programs.

DRUG LAW ENFORCEMENT FUND – To account for drug fines remitted by the Courts. The fundmay be used for efforts that pertain to drug offenses.

MITCHELL TRUST FUND (Mitchell Memorial Forest) - To account for initial bequest from WilliamMorris Mitchell, subsequent accumulation of income, expenditures for contiguous land, construction,maintenance and operations of the Mitchell Memorial Forest. The Detailed Schedule of Revenues,Expenditures and Changes in Fund Balances – Budget and Actual is located in the RequiredSupplementary Information Section of this report.

BENEDICT TRUST FUND – Established as an expendable trust fund for protection and development ofproperty located on Springfield Pike, Woodlawn, Ohio.

BURCHENAL TRUST FUND - Established as an expendable trust for establishment of trails, garden andappropriate memorial and other capital improvements on Burchenal Tract – Glenwood Gardens,Woodlawn, Ohio.

EVERGREEN FUND - To account for donations identified by the donor to be used for a specific purposeand to account for the following separate funds which are combined for reporting purposes:

Estate of Betty MartinEstate of Virginia MillerMildred Foman TrustNewberry Wildlife Sanctuary FundEstate of Margaret EmbshoffOthers

62

HAMILTON COUNTY PARK DISTRICTSchedule of Revenues, Expenditures and Changes in Fund Balances

Budget and Actual (Non-GAAP Budgetary Basis)Non Major Special Revenue Funds


Law Enforcement Fund

OriginalBudget

RevisedBudget Actual

Variance betweenActual and

Revised Budget

RevenuesDonations................................ $ 100 $ $ $Miscellaneous .........................Total Revenues ....................... 100

ExpendituresSalaries ...................................Supplies................................... 10,500 10,600 2,000 (8,600)Miscellaneous .........................Capital Outlay.........................

Total Budgetary Expenses 10,500 (10,600) 2,000 (8,600)

Excess (Deficiency) of Revenue Over(Under) Budgetary Expenditures (10,400) (10,600) (2,000) 8,600

Other Financing SourcesTransfers In ................................. 200 200 61 (139)Net Change in Fund Balance $ (10,200) $ (10,400) (1,939) $ 8,461

Budgetary Fund Balances(Deficit) Beginning of Year 10,301

Budgetary Fund Balances, End of Year $ 8,362

63

Law Enforcement and Education Fund Drug and Law Enforcement Fund

OriginalBudget



Revised BudgetOriginalBudget



Revised Budget

$ 100 $ $ $ $ 200 $ 200 $ 5,033 $ 4,833

- 200 200 5,033 4,833

2,700 2,895 - (2,895) 3,900 5,118 3,766 1,352

2,700 2,895 - (2,895) 3,900 5,118 3,766 1,352

(2,600) (2,895) (2,895) (3,700) (4,918) 1,267 6,185

100 100 95 (5) 100 100 7 (93)$ (2,500) $ (2,795) 95 $ (2,890) $ (3,600) $ (4,818) 1,274 $ 6,092

2,532 1,119

$ 2,627 $ 2,393

(continued)

64

HAMILTON COUNTY PARK DISTRICTSchedule of Revenues, Expenditures and Changes in Fund Balances

Budget and Actual (Non-GAAP Budgetary Basis)Non Major Special Revenue Funds


Evergreen Fund

OriginalBudget



Revised Budget

RevenuesDonations............................. $ 300,000 $ 300,000 $ 79,757 $ (220,243)Miscellaneous ...................... 1,500,000 1,337,151 (162,849)

Total Revenue 300,000 1,800,000 1,416,908 (383,092)

ExpendituresCapital Outlay...................... 1,792,800 2,822,341 2,773,109 49,232

Total Budgetary Expenses 1,792,800 2,822,341 2,773,109 49,232

Excess (Deficiency) of Revenueover (under) Budgetary Expenditures (1,492,800) (1,022,341) (1,356,201) (333,860)

Other Financing SourcesTransfers In .............................. 33,800 10,000 10,290 290Net Change in Fund Balance $ (1,459,000) $ (1,012,341) (1,345,911) $ (333,570)

Budgetary Fund Balances,Beginning of Year 1,752,125

Prior year Encumbrances 486,701Budgetary Fund Balances, End of Year $ 892,915

65

CAPITAL PROJECT FUND

The Capital Project Fund is established to account for financial resources to be used for theacquisition of major capital facilities (other than those financed by the Enterprise Fund).

66


67


(Non-GAAP Budgetary Basis)Capital Project Fund


OriginalBudget


VarianceBetween


Revenues

Charges for Service ..................................... $ - $ - $ - $ -

Expenditures

Capital Outlay.............................................. 7,184,700 10,141,871 8,614,369 1,527,502

Deficiency of revenues over expenditures (7,184,700) (10,141,871) (8,614,369) 1,527,502

Other Financing SourcesTransfers in.................................................. 7,184,700 10,000,000 7,000,000 (3,000,000)Deficiency of revenues and other financing

sources over expenditures $ - $ (141,871) (1,614,369) $ (1,472,498)

Budgetary Fund Balance, Beginning of Year 726,503

Prior Year Encumbrances 478,116

Budgetary Fund Balance, End of Year $ (409,750)

68


PROPRIETARY FUNDS


69

ENTERPRISE FUND

The Enterprise Fund is used to account for operations that are financed and operated in a mannersimilar to a private enterprise. The Hamilton County Park District’s enterprise fund is comprisedof the following departments: Golf Management, Fishing and Boating, Riding Center, FoodService, Golf Merchandise, Athletics and Recreation Management.

70

HAMILTON COUNTY PARK DISTRICTEnterprise Fund

Schedule of Revenues and Expenses by DepartmentFor the Year Ended December 31, 2003

GolfManagement

Fishingand

BoatingRidingCenter

FoodService

Operating RevenuesCharges for sales and services $ 5,822,127 $ 934,487 $ 230,615 $ 2,190,145

Operating ExpensesCost of sales and services 3,628,375 961,300 267,074 2,217,561Administration 667,848 139,205 18,104 308,909Depreciation 885,553 119,714 18,916 205,232

Total Operating Expenses 5,181,776 1,220,219 304,094 2,731,702

Income (Loss) before operating Transfers $ 640,351 $ (285,732) $ (73,479) $ (541,557)

71

GolfMerchandise Athletics

RecreationManagement Total

$ 1,017,979 $ 228,899 $ $ 10,424,252

911,566 230,870 326,421 8,543,16727,107 75,120 1,236,29322,900 80,886 1,333,201

961,573 386,876 326,421 11,112,661

$ 56,406 $ (157,977) $ (326,421) $ (688,409)

72


73

Statistical Section

The statistical section provides selected financial, economic and demographic information whichmay be used to indicate trends for comparative fiscal periods.

74


HAMILTON COUNTY PARK DISTRICTGENERAL FUND - REVENUES BY SOURCE

(Non-GAAP Budgetary Basis)For the Year Ended December 31, 2003

75

Motor Vehicle Permits$795,485 (3%)

Interest and Dividends $55,526 (1%)

Other$393,004 (2%)

Grants$501,961 (2%)

Charges for Services$3,910,732 (16%)

Property Taxes$18,149,004 (76%)

76


HAMILTON COUNTY PARK DISTRICTGENERAL FUND – EXPENDITURES BY FUNCTION

(Non-GAAP Budgetary Basis)For the Year Ended December 31, 2003

77

Resource Quality$157,225 (1%)

Land Management$284,375 (2%)

Public Safety$3,575,929 (20%)

Visitor Services$1,720,353 (10%)

Administration$2,516,516 (14%)

Naturalists$1,347,117 (8%)Communication

$501,979 (3%)

Operations

$7,395,669 (42%)

78

HAMILTON COUNTY PARK DISTRICTGeneral Fund

Revenues by Source and Expenditures by Function(Non-GAAP Budgetary Basis)

Last Ten Years

1994 1995 1996 1997 1998REVENUES

Taxes $ 11,910,802 $ 11,909,960 $ 11,845,742 $ 12,271,916 $ 12,062,982Motor Vehicle Permit 689,163 668,135 703,350 723,527 818,657Charges for Service 691,164 3,541,865 3,663,773 3,699,827 3,787,460Investment Income 191,759 407,377 447,128 338,128 261,179Miscellaneous 15,230 1,785,622 631,483 380,484 554,539

TOTAL REVENUE $ 13,498,118 $ 18,312,959 $ 17,291,476 $ 17,413,882 $ 17,484,817

EXPENDITURESAdministration $ 1,027,169 $ 1,055,050 $ 1,065,111 $ 1,167,313 $ 1,254,394Safety 1,948,624 2,071,100 2,147,453 2,336,878 2,589,823Operations 4,863,544 4,929,003 5,086,214 5,416,016 5,697,135Visitor Services and Other 1,651,845 2,045,930 2,150,294 2,570,152 2,650,357Land Management 165,850 121,375 140,153 140,710 199,326

TOTAL EXPENDITURES $ 9,657,032 $ 10,222,458 $ 10,589,225 $ 11,631,069 $ 12,391,035

79

1999 2000 2001 2002 2003

$ 12,642,955 $ 12,451,951 $ 12,636,073 $ 12,791,479 $ 18,149,004792,074 775,897 849,440 792,443 795,485

3,780,721 3,791,236 3,824,199 4,265,840 3,910,732291,022 354,991 216,360 62,127 55,526

275,314 188,575 539,187 1,488,979 894,965$ 17,782,086 $ 17,562,650 $ 18,065,259 $ 19,400,868 $ 23,805,712

$ 1,327,256 $ 1,426,047 $ 1,719,454 $ 2,032,437 $ 2,516,5162,572,623 2,666,474 2,933,745 3,025,836 3,575,9295,957,631 6,082,528 6,614,834 6,938,566 7,395,6692,816,257 2,729,479 2,714,835 2,684,309 3,726,674

197,433 215,465 205,942 210,070 284,375$ 12,871,200 $ 13,119,993 $ 14,188,810 $ 14,891,218 $ 17,499,163

80

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

Miscellaneous

Interest

Motor Vehicle Permits

Charges for Services

Property Taxes

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

$12,000,000

$14,000,000

$16,000,000

$18,000,000

$20,000,000

HAMILTON COUNTY PARK DISTRICTGENERAL FUND - REVENUES BY SOURCE

(Non-GAAP Budgetary Basis)Last Ten Years

81

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

Operations

Public Safety

Visitor Services

Administration

Miscellaneous

$0

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

$8,000,000

HAMILTON COUNTY PARK DISTRICTGENERAL FUND - EXPENDITURES BY FUNCTION

(Non-GAAP Budgetary Basis)Last Ten Years

82


HAMILTON COUNTY PARK DISTRICTENTERPRISE FUND

OPERATING REVENUES BY DEPARTMENTFor the Year Ended December 31, 2003

83

Golf Management $5,822,127 (56%)

Food Service$2,190,145 (21%)

Golf Merchandise$1,017,979 (10%)

Fishing and Boating$934,487 (9%)

Riding Center$230,615 (2%)

Athletics$228,899 (2%)

84


85

HAMILTON COUNTY PARK DISTRICTENTERPRISE FUND

OPERATING EXPENSES BY DEPARTMENTFor the Year Ended December 31, 2003

Recreation Management$326,421 (3%)

Athletics$386,876 (3%) Riding Center

$304,094 (3%)

Fishing and Boating$1,220,219 (10%)

Golf Merchandise$961,573 (9%)

Golf Management$5,181,776 (47%)

Food Service$2,731,702 (25%)

86

COUNTY OF HAMILTON, OHIOProperty Tax Levies and Collections

Real, Utility and Tangible Personal Property TaxesLast Ten Years

Tax YearCollection Year Current Levy Delinquent Levy Total Levy

1993/1994 $ 196,180,296 $ 14,947,756 $ 211,128,0521994/1995 210,573,806 14,153,427 224,727,2331995/1996 210,661,835 14,350,515 225,012,3501996/1997 234,466,576 18,367,236 252,833,8121997/1998 232,576,991 15,588,698 248,165,6891998/1999 243,871,859 15,353,864 259,225,7231999/2000 268,875,736 16,101,819 284,977,5552000/2001 258,587,877 17,663,002 276,250,8792001/2002 279,619,746 20,798,346 300,418,0922002/2003 293,718,944 23,835,087 317,554,031

Source: Hamilton County Auditor’s Office, Budget Commission

87

Current CollectionCurrent

Levy CollectedDelinquentCollection

TotalCollection

Total CollectionsAs a Percent ofCurrent Levy

$ 190,711,343 97.21% $ 7,294,666 $ 198,006,009 100.93%205,057,328 97.38 6,736,884 211,794,212 100.58204,316,902 96.99 6,648,968 210,965,870 100.14227,575,547 97.06 10,357,890 237,933,437 101.48226,682,488 97.47 8,297,212 234,979,700 101.03236,690,049 97.06 8,282,287 244,972,336 100.45260,266,951 96.80 8,599,370 268,866,321 100.00250,641,616 96.93 9,753,318 260,394,934 100.70270,041,922 96.57 10,965,600 281,007,522 100.50280,905,493 96.54 10,634,727 291,540,220 99.26

88

COUNTY OF HAMILTON, OHIOAssessed and Estimated Actual Value

of Taxable PropertyLast Ten Years

(Amounts in Thousands)

Real Property Personal Property

Tax YearCollection Year

AssessedValue

Estimated ActualValue

AssessedValue


1993/1994 $ 11,029,482 $ 31,512,777 $ 2,012,269 $ 8,049,0761994/1995 11,165,437 31,901,249 1,985,287 7,941,1481995/1996 11,305,422 32,301,206 2,029,232 8,116,9281996/1997 11,989,588 34,255,966 2,063,161 8,252,6451997/1998 12,096,491 34,561,402 2,074,756 8,299,0241998/1999 12,205,425 34,872,643 2,105,777 8,423,1081999/2000 14,193,173 40,551,923 2,080,609 8,322,4362000/2001 14,312,437 40,892,677 2,120,376 8,481,5042001/2002 14,489,393 41,398,266 2,054,198 8,216,7922002/2003 16,088,698 45,967,709 1,712,460 7,135,250

Source: Hamilton County Auditor’s Office, Budget Commission

89

Public Utility Total

AssessedValue


AssessedValue


Ratio of Assessedto EstimatedActual Value

$ 1,084,285 $ 2,168,570 $ 14,126,036 $ 41,730,423 33.85%1,126,311 2,252,622 14,277,035 42,095,019 33.921,065,606 2,131,212 14,400,260 42,549,346 33.841,071,857 2,143,714 15,124,606 44,652,325 33.871,022,980 2,045,960 15,194,227 44,906,386 33.851,040,198 2,080,396 15,351,400 45,376,147 33.831,040,460 2,080,934 17,314,242 50,955,293 33.98

977,417 1,954,834 17,410,230 51,329,015 33.92718,507 1,437,014 17,262,098 51,052,072 33.81743,825 1,487,650 18,544,983 54,590,609 33.97

90

COUNTY OF HAMILTON, OHIOPROPERTY TAX RATES

ALL DIRECT AND OVERLAPPING GOVERNMENTSLAST TEN YEARS

(PER $1,000 OF ASSESSED VALUATION)

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

HAMILTON COUNTY

GENERAL OPERATING 2.26 2.26 2.26 2.26 2.26 2.26 2.26 2.26 2.26 2.26DEBT (Bond retirement) 0.21 0.19 0.19 0.18 0.18 0.18 0.18 0.17 0.16 0.15DRAKE HOSPITAL 1.95 1.76 1.76 1.76 1.76 1.76 1.59 1.59 1.59 1.59UNIVERSITY OF CINCINATI HOSPITAL 4.73 4.73 4.73 4.73 4.73 4.73 4.73 4.73 5.39 5.39COUNTY PARK DISTRICT 1.03 1.03 1.03 1.03 1.03 1.03 1.03 1.03 1.03 1.03COUNTY POLICE INFORMATION CENTER 0.54 0.54 0.54 0.54 0.54 0.83 0.83 0.83 0.83 0.83CARE AND TRAINING MENTALLY RETARDED 2.73 2.73 2.73 2.73 2.73 2.73 3.53 3.53 3.53 3.53COMMUNITY MENTAL HEALTH 1.81 1.99 1.99 1.99 1.99 2.47 2.47 2.47 2.47 2.74SUPPORT OF CHILDREN SERVICES 1.62 1.62 1.62 2.77 2.77 2.11 2.77 1.87 2.77 2.77RECREATION/ ZOOLOGICAL PURPOSES 0.45 0.45 0.45 0.45 0.00 0.42 0.42 0.42 0.42 0.42SENIOR SERVICES 1.00 1.00 1.00 1.00 1.02 1.02 1.02 1.02 1.02 1.16

TOTAL 18.33 18.30 18.30 19.44 19.01 19.54 20.83 19.92 21.47 21.87

TOWNSHIPS

ANDERSON 8.90 8.90 8.90 8.90 8.90 8.90 9.90 9.90 11.87 11.87ANDERSON TOWNSHIP PARK DISTRICT 2.28 2.28 2.28 2.28 2.28 2.28 2.28 2.28 2.28 2.28COLERAIN 12.34 12.34 12.34 12.34 12.34 12.34 10.84 15.18 15.18 16.18COLUMBIA 17.76 17.96 17.96 17.96 17.96 17.96 17.96 17.96 17.96 17.96CROSBY 9.24 9.24 9.24 9.24 9.24 9.24 9.24 9.24 9.24 9.24DELHI 19.66 19.46 19.46 19.46 19.46 19.46 19.46 19.46 19.46 19.46DELHI TOWNSHIP PARK DISTRICT 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00GREEN 7.06 8.81 8.81 8.81 8.81 8.81 8.81 8.81 8.31 8.31HARRISON 3.74 3.74 3.74 3.74 3.74 3.74 3.74 3.74 3.74 3.74MIAMI 5.56 5.56 6.85 6.85 6.85 6.45 6.45 7.45 7.45 9.91SPRINGFIELD 15.67 15.67 15.67 15.67 14.30 14.30 14.30 14.30 20.30 20.30SYCAMORE 7.60 7.60 7.60 7.60 7.60 7.75 7.75 7.75 7.75 7.75SYMMES 10.30 11.00 11.00 11.00 11.00 11.90 11.75 11.75 11.75 13.45WHITEWATER 10.84 10.84 10.84 10.84 10.84 10.84 10.84 10.84 10.84 11.44

SCHOOLS

CINCINNATI 48.75 48.58 53.52 53.19 53.13 53.13 51.94 56.93 57.15 56.25DEER PARK 55.10 55.10 62.01 62.01 62.01 62.01 62.01 70.00 70.00 70.00FINNEYTOWN 68.77 68.70 68.64 72.60 72.39 72.39 72.39 72.39 80.34 80.34FOREST HILLS 43.04 49.51 49.23 51.37 51.37 51.37 51.16 50.97 50.97 55.87INDIAN HILL 44.69 44.63 44.58 44.48 44.51 42.92 42.92 47.10 47.10 47.10LOCKLAND 35.12 35.12 35.89 58.34 59.07 57.96 56.59 55.95 37.69 37.09LOVELAND 56.69 56.13 55.44 60.14 59.58 64.21 63.79 70.14 70.14 70.14MADEIRA 68.97 68.97 68.97 72.13 72.13 72.13 71.71 80.22 80.14 79.47MARIEMONT 67.97 67.97 74.97 74.97 74.97 84.92 82.92 85.15 85.67 85.42MILFORD 57.50 57.50 57.50 54.52 59.10 59.10 59.10 59.10 63.20 63.20MT. HEALTHY 55.89 55.79 55.77 55.66 54.99 61.98 61.85 61.66 61.71 61.83NORTH COLLEGE HILL 54.12 53.97 53.57 53.57 53.57 53.57 57.47 57.47 57.47 57.47NORTHWEST 43.18 43.15 42.98 42.98 50.18 50.18 50.13 49.80 49.80 49.64NORWOOD 47.98 46.63 49.92 49.51 48.90 48.82 48.57 62.80 52.95 49.90OAK HILLS 35.30 40.20 40.20 40.20 46.97 46.97 46.97 46.97 46.97 46.74PRINCETON 42.24 42.24 42.24 42.24 42.24 42.24 46.19 46.19 46.19 45.79READING 43.30 51.28 51.28 51.28 57.18 57.18 57.18 57.18 57.18 57.18ST. BERNARD 29.75 36.67 36.67 36.71 35.72 34.97 34.97 43.25 43.86 43.07SOUTHWEST 45.13 45.13 45.13 44.77 44.74 48.22 48.22 47.88 47.75 47.44SYCAMORE 54.14 54.14 54.14 54.14 54.14 61.53 60.84 80.84 60.84 80.49THREE RIVERS 39.40 32.06 36.96 37.86 37.54 37.48 37.26 39.95 39.95 39.95WINTON WOODS 62.12 62.12 62.12 62.12 62.13 70.08 70.08 70.08 70.08 70.08WYOMING 63.03 64.98 64.98 64.98 64.98 73.18 71.03 70.39 70.29 70.08GREAT OAKS JOINT VOCATIONAL 2.70 2.70 2.70 2.70 2.70 2.70 2.70 2.70 2.70 2.70

91

COUNTY OF HAMILTON, OHIOPROPERTY TAX RATES (continued)

ALL DIRECT AND OVERLAPPING GOVERNMENTSLAST TEN YEARS

(PER $1,000 OF ASSESSED VALUATION)

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003CITIES & VILLAGES

ADDYSTON 6.59 6.59 7.59 7.59 7.59 7.59 7.59 5.59 5.59 5.59AMBERLEY 4.00 4.00 4.00 4.00 4.00 6.00 6.00 7.00 7.00 7.00ARLINGTON HEIGHTS 10.87 10.81 10.77 10.02 10.82 10.82 10.82 10.82 10.82 9.52BLUE ASH 3.08 3.08 3.08 3.08 3.08 3.08 3.08 3.08 3.08 3.08CHEVIOT 13.38 13.38 13.02 13.00 12.84 12.82 12.66 12.62 12.56 12.42CINCINNATI 11.46 11.46 11.46 11.46 11.46 11.46 10.90 10.76 10.76 10.63CLEVES 19.36 19.36 19.36 23.71 23.71 20.71 20.71 17.41 13.66 13.66DEER PARK 6.68 6.68 6.58 7.20 7.20 4.50 3.55 3.55 3.55 3.55ELMWOOD PLACE 17.78 17.78 17.78 17.78 17.78 17.78 17.78 17.78 17.78 17.78EVENDALE 3.34 3.34 3.34 3.34 3.34 3.34 0.00 0.00 0.00 0.00FAIRFAX 2.76 2.76 2.76 2.76 2.76 2.76 2.76 2.76 2.76 2.76FOREST PARK 8.01 8.01 8.01 8.01 8.01 8.01 8.01 8.01 12.76 12.76GLENDALE 25.38 25.38 23.68 23.26 22.34 19.66 21.93 21.66 21.55 22.61GOLF MANOR 12.60 19.60 19.60 19.60 19.42 19.42 19.42 25.32 24.52 24.52GREENHILLS 18.04 18.04 21.54 21.91 26.22 26.47 25.99 25.99 25.93 27.98HARRISON 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00INDIAN HILL 0.96 0.96 0.96 0.96 0.96 0.96 0.96 0.96 0.96 0.96LINCOLN HEIGHTS 24.34 10.08 20.08 20.08 20.08 20.08 20.08 20.06 24.58 26.33LOCKLAND 6.02 6.02 6.02 6.02 6.02 6.02 6.02 6.02 6.02 6.02LOVELAND 10.00 10.00 10.00 10.00 10.00 10.00 10.00 10.00 12.00 12.00MADEIRA 7.50 7.50 7.50 9.92 7.50 7.50 7.50 7.50 7.50 7.50MARIEMONT 8.94 8.94 8.94 8.94 12.44 12.44 12.44 12.44 12.44 12.44MILFORD 13.10 13.10 13.10 12.60 12.60 12.60 12.60 12.00 12.00 12.00MONTGOMERY 9.15 9.15 9.15 9.15 9.15 9.15 10.75 10.75 10.05 10.05MT. HEALTHY 4.61 7.11 7.11 7.11 7.11 7.11 6.61 8.11 8.11 8.11NEWTOWN 8.87 8.87 8.87 8.87 8.87 8.87 6.87 6.67 6.87 10.37NORTH BEND 13.82 16.59 17.88 17.88 17.88 14.88 10.38 10.09 10.09 10.09NORTH COLLEGE HILL 6.18 6.18 6.18 7.98 7.98 7.98 7.98 7.98 7.98 7.98NORWOOD 11.40 11.40 11.40 11.40 11.40 11.40 11.40 11.40 11.40 11.40READING 3.52 1.76 1.76 1.76 1.76 1.76 1.76 3.52 3.52 3.52ST. BERNARD 2.28 2.28 2.28 2.28 2.28 2.28 2.28 2.20 2.28 2.28SHARONVILLE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00SILVERTON 11.15 11.15 11.15 11.15 11.15 8.15 8.15 8.15 8.15 8.15SPRINGDALE 3.08 3.08 3.08 3.08 3.08 3.08 3.08 3.08 3.08 3.08TERRACE PARK 18.32 14.86 14.86 14.86 14.86 14.86 14.86 14.86 14.86 14.86WOODLAWN 4.08 4.08 4.08 4.08 5.08 5.08 5.08 5.08 5.08 5.08WYOMING 10.00 10.00 10.00 10.00 10.00 10.00 10.00 10.00 10.00 10.00

SPECIAL DISTRICTS:

Deer Park/Silverton Joint Ambulance 0.00 0.00 0.00 0.00 0.00 6.50 6.50 6.50 6.50 6.50Eastern Joint Ambulance District 2.20 2.20 2.20 2.20 2.20 2.20 2.20 2.20 3.00 3.00Western Joint Ambulance District 0.00 0.00 1.25 1.25 1.25 1.25 1.25 1.25 1.25 2.50Fairfax/Madison Pl. Joint Fire and Rescue 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2.50 1.25

Source: Hamilton County Auditor's Office-Budget Commission-Tax Year Data

92

HAMILTON COUNTY PARK DISTRICTComputation of Legal Debt Margin

December 31, 2003(Amounts in Thousands)

• Tax valuation of all property subject to ad valorem taxation in theHamilton County Park District as shown by the tax duplicate for theyear 2003, the latest tax duplicate at the date hereof. $ 18,544,983

Aggregate permitted principal amount of bonds issued inanticipation of the collection of the voted tax levy of aPark district pursuant to Section 1545.21, O.R. C.(1 percent of tax valuation). $ 185,450

• Total remaining principal of all outstanding bonds issued. None

• Available principal amount of bonds issued. $ 185,450

93

COUNTY OF HAMILTON, OHIODEMOGRAPHIC STATISTICS

POPULATION

1940 621,8971950 723,9531960 864,1211970 925,9441980 866,7141990 866,2282000 845,303

AGE DISTRIBUTION OF POPULATION – 2000

Number Percentage Under 5 years 56,548 6.69% 5-9 years 60,719 7.18 10-14 years 63,822 7.56 15-19 years 60,987 7.21 20-24 years 56,941 6.74 25-34 years 117,694 13.92 35-44 years 132,973 15.73 45-54 years 112,172 13.27 55-59 years 37,992 4.49 60-64 years 31,557 3.73 65-74 years 58,302 6.90 75-84 years 40,462 4.79 85 years and over 15,134 1.79

Total 845,303 100.00% Median age: 35.5

Source: United States Bureau of the CensusGreater Cincinnati Chamber of Commerce for the Hamilton County Area

94

COUNTY OF HAMILTON, OHIODEMOGRAPHIC STATISTICS (continued)

DISTRIBUTION OF FAMILIES BY INCOME BRACKET (Average 2.45 Persons)

2000 Number Percentage

0-$9,999 47,530 13.97%$10,000-$19,999 47,850 14.06$20,000-$29,999 44,720 13.14$30,000-$39,999 52,480 15.42$40,000-$49,999 46,410 13.64$50,000-$59,999 31,440 9.24$60,000-$74,999 29,030 8.53$75,000-$99,999 20,920 6.15$100,000-$124,999 7,960 2.34$125,000-$149,999 3,620 1.06Over $150,000 8,310 2.45

Total 340,270 100.00%

Per Capita Income $ 32,753

Source: U.S. Department of Commerce

95

COUNTY OF HAMILTON, OHIODEMOGRAPHIC STATISTICS (continued)

LAST TEN YEARS

EMPLOYMENT – ANNUAL AVERAGE

TotalLabor Force

TotalEmployed

TotalUnemployed

UnemploymentRate

1993 441,600 417,300 24,300 5.51994 435,800 415,000 20,800 4.81995 436,900 419,300 17,600 4.01996 449,000 432,800 16,200 3.61997 450,300 435,700 14,600 3.21998 459,100 445,900 13,200 2.91999 458,600 444,700 13,900 3.02000 449,000 436,100 12,900 2.92001 447,600 430,800 16,800 3.82002 442,600 424,700 17,500 4.0

EMPLOYMENT BY SECTOR(Amounts in Thousands)

Manufacturing Wholesale-Retail

Trade Professional and Related

Services State and Local

Government

NumberPercentof Total Number

Percentof Total Number


Percentof Total

1992 110.1 21.0 131.8 25.1 147.0 28.0 48.1 9.21993 105.4 20.0 131.1 25.0 150.2 28.6 48.4 9.21994 101.0 18.9 135.0 25.3 155.8 29.2 49.3 9.21995 99.9 18.5 137.8 25.5 160.6 29.7 49.6 9.21996 98.1 17.7 143.8 25.8 169.2 30.4 50.1 9.01997 97.0 17.3 138.2 24.7 179.5 32.0 48.4 8.91998 96.4 17.1 137.6 24.5 182.9 32.5 48.3 8.61999 92.8 16.5 136.0 24.2 187.9 33.5 48.4 8.62000 90.3 16.0 141.6 25.1 189.6 33.6 47.2 8.42001 85.9 15.6 130.4 23.8 190.1 34.6 47.3 8.8

Finance, Insurance and Real Estate

Transportation and Public Utilities Other Total

NumberPercentof Total Number



Percentof Total

1992 36.0 6.9 26.1 5.0 25.0 4.8 524.1 1001993 37.4 7.1 26.1 5.0 26.8 5.1 525.4 1001994 38.6 7.2 27.3 5.1 27.4 5.1 534.4 1001995 38.5 7.1 27.3 5.0 26.8 5.0 540.5 1001996 41.0 7.4 27.3 4.9 26.9 4.8 556.4 1001997 39.9 7.1 27.0 4.8 29.5 5.2 559.5 1001998 41.1 7.3 28.3 5.0 28.3 5.0 562.9 1001999 38.8 6.9 27.6 4.9 30.2 5.4 561.7 1002000 39.8 7.0 26.9 4.8 28.7 5.1 564.1 1002001 39.4 7.2 26.7 4.9 29.2 5.3 549.0 100

Source: Ohio Bureau of Employment Services. Annual/Average Employment for 2003 and Employmentby Sector information for 2002 and 2003 is not available at the time of this publication.

96


97

COUNTY OF HAMILTON, OHIOPRINCIPAL TAXPAYERS

December 31, 2003(Amounts in Thousands)

Name of Taxpayer Nature of BusinessAssessedValuation

Percent of TotalAssessed Valuation

CINERGY Corporation Public Utility $ 514,049 2.77%Procter & Gamble Co. Consumer Goods – Manufacturing 182,585 0.98Cincinnati Bell Telephone Public Utility 160,258 0.86Duke Realty Ohio Real Estate Management 77,059 0.32Ford Motor Company Automotive Manufacturing 74,244 0.40City of Cincinnati City Government 69,474 0.37Concordia Properties Real Estate Management 57,029 0.31Hamilton County County Government 54,116* 0.00**Cognis Corporation Chemical Manufacturing 46,914 0.25Emery Realty Real Estate Management 31,255 0.17

$ 1,266,980 6.53%

Source: Hamilton County Auditor’s Office

*Real property for the Hamilton County Commissioners includes a value of $39,285,750 for the Great American Ballpark. The majority of this value will be exempted.

**Total excludes the Hamilton County Commissioners for which a majority of the value will be exempted.

98

HAMILTON COUNTY PARK DISTRICTSchedule of Insurance Coverage

December 31, 2003

Coverage Carrier Policy Number General Liability(Include liquor as provided byexclusion)

ALEAEnduranceQBEHannover

OH 1694179-P03

Umbrella Liability Professional GovernmentalUnderwriters, Inc.

PGU000009

Automobile Liability ALEAEnduranceQBEHannover

OH 1694179-PO3

Automobile Physical Damage EnduranceHannover

OH 1694179 –PO3

Employee Dishonesty EnduranceHannover

OH 1694179-PO3

Building and Contents EnduranceHannover

OH 1694179-PO3

Inland Marine EnduranceHannover

OH 1694179-PO3

Law Enforcement Liability QPEALEAEnduranceHannover

OH 1694179-PO3

Crime EnduranceHannover

OH 1694179-PO3

Public Officials Liability ALEAEnduranceQBE

OH 1694179-PO3

Boiler CHUBB OH 1694179-PO3

EDP EnduranceHannover

OH 1694179-PO3

99

Expiration Date Limits Aggregate Deductible Annual Premium

8-31-2004 $ 7,000,000 $ - $ 106,588

7-1-2004 5,000,000 10,000 23,625

8-31-2004 5,000,000 - 50,050

8-31-2004 2,205,776 1,000/2,000 15,154

8-31-2004 25,000 1,000 197

8-31-2004 38,482,717 10,000 19,237

8-31-2004 3,775,833 5,000 17,230

8-31-2004 7,000,000 10,000 13,635

8-31-2004 25,000 1,000 1,064

8-31-2004 7,000,000 10,000 9,283

8-31-2004 3,848,717 10,000 2,255

8-31-2004 230,000 1,000 2,140

Annual Premium Total $ 260,458

100

HAMILTON COUNTY PARK DISTRICTFacility Utilization

Last Ten Years

1994 1995 1996 1997

Reservations picnic areas 1,815 2,201 2,101 1,957

Pounds of fish stocked 59,050 53,000 50,000 56,400

Boat rentals 46,469 45,238 35,042 38,492

Rounds of golf 330,254 324,575 309,267 357,989

Horseback riding lessons 5,965 8,934 10,191 9,642

Visitor center attendance 149,232 144,448 165,500 141,215

Programs presented 1,202 1,421 1,634 1,971

Program attendance 63,012 66,726 74,258 95,098

Volunteer hours 45,160 45,537 50,873 50,960

Motor vehicle permits – annual 194,265 187,737 199,834 204,966

Motor vehicle permits – other 106,964 105,367 104,061 116,012

Special events 28 30 15 20

101

1998 1999 2000 2001 2002 2003

2,044 2,507 2,799 2,793 2,493 2,538

41,000 41,500 39,000 36,000 36,000 24,000

54,548 47,796 44,856 45,811 36,291 32,418

360,254 341,601 369,695 375,337 314,032 298,859

10,009 9,566 9,878 10,509 10,095 8,256

138,706 181,252 195,546 211,993 207,298 175,765

2,010 1,937 2,083 2,326 2,318 2,686

85,746 74,379 85,427 82,230 83,967 84,820

60,489 56,095 56,226 65,246 66,409 70,132

233,257 227,093 220,509 243,106 227,158 228,699

126,082 110,705 96,993 100,117 111,291 111,456

22 28 34 29 38 31

102


103

HAMILTON COUNTY PARK DISTRICTFACILITIES UTILIZATION

Last Ten Years

Motor Vehicle Permits

-

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

Rounds of Golf

-

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

104


105

HAMILTON COUNTY PARK DISTRICTFACILITIES UTILIZATION

Last Ten Years

Visitor Center Attendance

-

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

220,000

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

Program Attendance

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

106

HAMILTON COUNTY PARK DISTRICTPARK FACILITIES AND RECREATIONAL ACTIVITIES

RecreationalActivities

Embs

hoff

Farb

ach-

Wer

ner

Gle

nwoo

d G

arde

ns

Lake

Isab

ella

Littl

e M

iam

i

Mia

mi W

hite

wat

er

Mitc

hell

Mem

oria

l

Shar

on W

oods

Shaw

nee

Look

out

Trip

le C

reek

Win

ton

Woo

ds

With

row

Woo

dlan

d M

ound

Amphitheater-Outdoor X X X XAthletic fields X X X X X XBike Trails/Bike Rentals X X XBoating – Canoes XBoating – Hydrobikes XBoating - Lake Cruises X XBoating - Pedal Boats X X XBoating - Row Boats X X X XCampgrounds X X XCross Country Skiing X X X X X X X X X X X XFishing X X X X X X X XFood-Snack Bars X X X X X X XFrisbee Golf Courses X X X XGift/Bookstores X X X X XGolf – Courses X X X X X XGolf - Driving Ranges X X XGolf – Miniature Golf XHiking Trails X X X X X X X X X XHistoric Restoration X XHorseback Riding Trails X XIce Skating X X X X X XLawn Bowling XNaturalist Offices X X X X XParcours Fitness Trails X X X X X XPicnic Areas X X X X X X X X XPlaygrounds/Special Features X X X X XReservable Lodges X X X X XReservable Shelters X X X X X XScenic Overlooks X X X X XSledding X X XVisitor Center X X X XWet Playground X X X X

312 Walnut Street, Suite 3000P.O. Box 5367Cincinnati, Oh 45201-5367513 621-8300 Fax 513 621-8345

bkd.com

Independent Accountants' Report on Compliance and Internal Control OverFinancial Reporting Based on the Audit of the Financial Statements Performed

in Accordance with Government Auditing Standards

Board of Park CommissionersHamilton County Park DistrictCincinnati, Ohio

We have audited the financial statements of the governmental activities, the business-typeactivities, each major fund, and the aggregate remaining fund information of Hamilton CountyPark District as of and for the year ended December 31, 2003, which collectively comprise itsbasic financial statements and have issued our report thereon dated May 11, 2004. Weconducted our audit in accordance with auditing standards generally accepted in the UnitedStates of America and the standards applicable to financial audits contained in GovernmentAuditing Standards, issued by the Comptroller General of the United States.

Compliance

As part of obtaining reasonable assurance about whether the Organization's financial statementsare free of material misstatement, we performed tests of its compliance with certain provisions oflaws, regulations, contracts and grants, noncompliance with which could have a direct andmaterial effect on the determination of financial statement amounts. However, providing anopinion on compliance with those provisions was not an objective of our audit and, accordingly,we do not express such an opinion. The results of our tests disclosed no instances ofnoncompliance that are required to be reported under Government Auditing Standards.

Internal Control Over Financial Reporting

In planning and performing our audit, we considered the Organization's internal control overfinancial reporting in order to determine our auditing procedures for the purpose of expressingour opinion on the financial statements and not to provide assurance on the internal control overfinancial reporting. However, we noted certain matters involving the internal control overfinancial reporting and its operation that we consider to be reportable conditions. Reportableconditions involve matters coming to our attention relating to significant deficiencies in thedesign or operation of the internal control over financial reporting that, in our judgment, couldadversely affect the Organization's ability to record, process, summarize and report financial dataconsistent with the assertions of management in the financial statements. A reportable conditionis described in the accompanying schedule of findings and questioned costs as item 2003-1.

A material weakness is a condition in which the design or operation of one or more of theinternal control components does not reduce to a relatively low level the risk that misstatementsin amounts that would be material in relation to the financial statements being audited may occurand not be detected within a timely period by employees in the normal course of performing theirassigned functions. Our consideration of the internal control over financial reporting would notnecessarily disclose all matters in the internal control that might be reportable conditions and,accordingly, would not necessarily disclose all reportable conditions that are also considered tobe material weaknesses. However, we believe the reportable condition described above is not amaterial weakness. We also noted other matters involving the internal control over financialreporting and its operation that we have reported to the Organization's management in a separateletter dated May 11, 2004

This report is intended solely for the information and use of the Board of Commissioners andmanagement and is not intended to be and should not be used by anyone other than thesespecified parties.

May 11, 2004

Hamilton County Park DistrictSchedule of Findings and Questioned Costs

Year Ended December 31, 2003

ReferenceNumber Finding

2003-1. In 2002, we reported several issues related to the internally developedaccounting software package which is not supported by anyone otherthan the controller who wrote the package. Additionally, there isincompatibility between the controller’s role in the cash receipts and cashdisbursements functions and his unlimited access to the system. Finally,certain internal controls that should be in place for in-house designedsoftware are not in place at the Park District. There is virtually nosupervision in programming changes or data access changes. There areno formalized procedures regarding programming or reporting changesand live data is used in these changes. These situations still exist atDecember 31, 2003

Implementation of new software and the related changes that must bemade to related procedures is a time consuming process. We understandmanagement has begun this process and has performed research onavailable packaged software for local governments and has entered intodiscussions with potential software consultants. We believe this is anappropriate start to addressing these control weaknesses and recommendthat the search be expedited to timely implement a new accounting andreporting software package. In connection with the implementation ofnew accounting software, assigned duties of all accounting personnelshould be evaluated to ensure appropriate segregation.

Hamilton County Park DistrictSchedule of Prior Findings and Questioned Costs

Year Ended December 31, 2003

ReferenceNumber Finding

2002-1. In 2002, we reported several issues related to the internally developedaccounting software package See modified comment at 2003-1 in thecurrent year report.

2002-2. In 2002, we reported that the accounts payable clerk and controller hadnearly unlimited access to the signature plate for writing checks. Wenoted in our 2003 audit that this deficiency was corrected and appropriatephysical controls have been implemented to properly segregate checkwriting duties.

88 East Broad StreetP.O. Box 1140Columbus, Ohio 43216-1140

Telephone 614-466-4514800-282-0370

Facsimile 614-466-4490

HAMILTON COUNTY PARK DISTRICT

HAMILTON COUNTY

CLERK'S CERTIFICATIONThis is a true and correct copy of the report which is required to be filed in the Officeof the Auditor of State pursuant to Section 117.26, Revised Code, and which is filedin Columbus, Ohio.

CLERK OF THE BUREAU

CERTIFIEDJULY 1, 2004

Documents

29543 Hamilton County Park District - Ohio Auditor of State · PDF fileThe Hamilton County Park District (Park District) ... Kenton, Campbell, Gallatin, Grant, ... • Fulton: 11 acres